MS Q1 2011 Earnings Release - Official Thread

[Shorty11857]

kowenicki said:

whatever said:

kowenicki said:

whatever said:

It will be interesting to see the impact of Kinect development costs and if that puts them back in the red (along with Windows Phone 7).

So you think Kinect development cost all happened during last quarter?    That must be the quickest development of a product ever!  3 months from conception to release. 

Kinect development costs will have been mostly accounted for previously.... from here on its marketing costs.

And you base this on what, besides pulling it out of your A@$.

I base it on common sense and having a clue about how these things work......

As far as Kinect is concerned the R&D was done and finished with a while back.  The last quarter will be mostly manufacturing/distribution costs, the next quarter will be heavy on marketing costs.

When you spend a dollar on the R&D, manufacturing or marketing of a product it goes in the accounts that day, you dont hold that dollar transaction item over until a product is near release or is released.

Try not to be so rude and ignorant in future....

 

Manufacturing doesn't go into accounts as a cost until the product is sold or written down

Costs of Producing Kinect minus the value of the closing stock of Kinect at cost = 0 or it should; so manufacturing Kinect won't have any weight on these figures