FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question

conduct horizontal and vertical analyses for the balance sheet and income statement accounts and report any significant observations for a two-year period.

Accounts Receivable:

  1. Use basic financial analysis to examine any horizontal changes in Starbucks’ accounts receivable balances over time.
  2. Use basic financial analysis to examine any vertical changes in Starbucks’ accounts receivable balances over time.
STARBUCKS CORPORATION
CONSOLIDATED BALANCE SHEETS
(in millions, except per share data)
Sep 30,
2018
Oct 1,
2017
ASSETS
Current assets
Cash and cash equivalents
8,756.3 $
2,462.3
181.5
Short-term investments
228.6
Accounts receivable, net
693.1
870.4
Inventories
1,400.5
1,364.0
Prepaid expenses and other current assets
1,462.8
358.1
Total current assets
12,494.2
5,283.4
Longterm investments
Equity and cost investments
Property, plant and equipment, net
Deferred income taxes, net
267.7
542.3
334.7
481.6
5,929.1
4,919.5
795.4
134.7
412.2
362.8
Other longerm asscts
Other intangible assets
Goodwill
TOTAL ASSETS
1,042.2
441.4
1.539.2
3,541.6
24.156.4
14,365.6
LIABILITIES AND EQUITY
Current liabilities
1,179.3 S
Accounts payable
Accrued liabilities
782.5
2,298.4
1,934.5
Insurance reserves
213.7
215.2
Stored value card liability and current portion of deferred revenue
Current portion of long-term debt
Total current liabilitics
1,642.9
1,288.5
349.9
4,220.7
5,684.2
Long-term debt
Deferred revenue
9,090.2
3,932.6
6,775.7
4.4
Other longtem liabilities
1,430.5
750.9
Total liabilities
22,980.6
8,908.6
Shareholders' equity:
Common stock (S0.001 par value)-authorized, 2,400.0 shares; issued and
outstanding, 1,309.1 and 1,431.6 shares, respectively
13
14
Additional paid-in capital
Retained carmings
41.1
41.1
5,563.2
1,457.4
Accumulated other comprehensive loss
Total shareholders' equity
(330.3)
1,69.5
(155.6)
S,450.1
Noncontrolling interests
Total equity
6.3
6.9
1,175.8
5,457.0
24,156.4
TOTAL LIABILITIES AND EQUITY
14,365.6
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Transcribed Image Text:STARBUCKS CORPORATION CONSOLIDATED BALANCE SHEETS (in millions, except per share data) Sep 30, 2018 Oct 1, 2017 ASSETS Current assets Cash and cash equivalents 8,756.3 $ 2,462.3 181.5 Short-term investments 228.6 Accounts receivable, net 693.1 870.4 Inventories 1,400.5 1,364.0 Prepaid expenses and other current assets 1,462.8 358.1 Total current assets 12,494.2 5,283.4 Longterm investments Equity and cost investments Property, plant and equipment, net Deferred income taxes, net 267.7 542.3 334.7 481.6 5,929.1 4,919.5 795.4 134.7 412.2 362.8 Other longerm asscts Other intangible assets Goodwill TOTAL ASSETS 1,042.2 441.4 1.539.2 3,541.6 24.156.4 14,365.6 LIABILITIES AND EQUITY Current liabilities 1,179.3 S Accounts payable Accrued liabilities 782.5 2,298.4 1,934.5 Insurance reserves 213.7 215.2 Stored value card liability and current portion of deferred revenue Current portion of long-term debt Total current liabilitics 1,642.9 1,288.5 349.9 4,220.7 5,684.2 Long-term debt Deferred revenue 9,090.2 3,932.6 6,775.7 4.4 Other longtem liabilities 1,430.5 750.9 Total liabilities 22,980.6 8,908.6 Shareholders' equity: Common stock (S0.001 par value)-authorized, 2,400.0 shares; issued and outstanding, 1,309.1 and 1,431.6 shares, respectively 13 14 Additional paid-in capital Retained carmings 41.1 41.1 5,563.2 1,457.4 Accumulated other comprehensive loss Total shareholders' equity (330.3) 1,69.5 (155.6) S,450.1 Noncontrolling interests Total equity 6.3 6.9 1,175.8 5,457.0 24,156.4 TOTAL LIABILITIES AND EQUITY 14,365.6
STARBUCKS CORPORATION
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
in millions
Sep 30,
2018
Oct 1,
2017
Oct 2,
2016
Fiscal Year Ended
Net earnings including noncontrolling interests
$
2,884.9 $
2,818.9
4,518.0
Other comprehensive income/(loss), net of tax:
Unrealized holding gains/(losses) on available-for-sale securities
(7.0)
(9.5)
3.5
Tax (expense)/benefit
1.9
2.9
(1.3)
(109.6)
Unrealized gains/(losses) on cash flow hedging instruments
24.4
53.2
Таx (еxpense)benefit
(6.5)
(12.6)
27.5
Unrealized gains/(losses) on net investment hedging instruments
7.8
20.1
Таx (еxpense)benefit
(2.2)
(7.4)
Translation adjustment and other
(220.0)
(38.3)
85.5
Таx (еxpense) benefit
Reclassification adjustment for net (gains)/losses realized in net
earnings for available-for-sale securities, hedging instruments, and
translation adjustment
(2.4)
3.4
19.0
24.7
(67.2)
78.2
Tax expense/(benefit)
(1.2)
14,0
(11.8)
91.0
Other comprehensive income/(loss)
(174.7)
(47.2)
Comprehensive income including noncontrolling interests
4,343.3
2,837.7
2,909.9
(0.3)
Comprehensive income/(loss) attributable to noncontrolling interests
0.2
1.2
Comprehensive income attributable to Starbucks
4,343.6 $
2,837.5 $
2,908.7
See Notes to Consolidated Financial Statements
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Transcribed Image Text:STARBUCKS CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME in millions Sep 30, 2018 Oct 1, 2017 Oct 2, 2016 Fiscal Year Ended Net earnings including noncontrolling interests $ 2,884.9 $ 2,818.9 4,518.0 Other comprehensive income/(loss), net of tax: Unrealized holding gains/(losses) on available-for-sale securities (7.0) (9.5) 3.5 Tax (expense)/benefit 1.9 2.9 (1.3) (109.6) Unrealized gains/(losses) on cash flow hedging instruments 24.4 53.2 Таx (еxpense)benefit (6.5) (12.6) 27.5 Unrealized gains/(losses) on net investment hedging instruments 7.8 20.1 Таx (еxpense)benefit (2.2) (7.4) Translation adjustment and other (220.0) (38.3) 85.5 Таx (еxpense) benefit Reclassification adjustment for net (gains)/losses realized in net earnings for available-for-sale securities, hedging instruments, and translation adjustment (2.4) 3.4 19.0 24.7 (67.2) 78.2 Tax expense/(benefit) (1.2) 14,0 (11.8) 91.0 Other comprehensive income/(loss) (174.7) (47.2) Comprehensive income including noncontrolling interests 4,343.3 2,837.7 2,909.9 (0.3) Comprehensive income/(loss) attributable to noncontrolling interests 0.2 1.2 Comprehensive income attributable to Starbucks 4,343.6 $ 2,837.5 $ 2,908.7 See Notes to Consolidated Financial Statements
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