Annual Report Project: Stock Price This Week
ANNUAL REPORT PROJECT ASSIGNMENT 8
Market Update:
(Stock price this week)
Price_________on date___________
LIABILITIES
Name of company chosen: _________Starbucks______________________
Refer to the financial statements and notes to the financial statements. The first note, “Summary of Significant Accounting Policies,” provides information about the company’s ac-counting methods. You will also need to refer to the other notes to the financial statements and to the financial statements themselves in order to answer the following questions.
IMPORTANT: Indicate the page number on which the information was found.
THE BASICS
1. What is the amount of the company’s current liabilities? Page 44 This year $2075.8 Mil Last year $177.91 Mil 2. What is the amount of the company’s long-term liabilities? Page 44 This year $897.3 Mil Last year $924.5 mil
3. Refer to the notes to the financial statements. Does the company report any other commitments or contingent liabilities? __Yes___ If yes, provide a description of any con-
tingencies discussed. Page 42, 53 Starbucks has AROs that are associated with leasehold improvements that are required to be removed at the end of the lease. The liability is estimated based on number of assumptions requiring management’s judgment, including store closing costs, cost inflation rates and discount rates, and is accreted to its projected future value over time. Gains or losses are recognized when there is a discrepancy between the recorded ARO liability and actual amount. 4. Refer to the notes to the financial statements. Does the company disclose any off-balance- sheet financing arrangements? __Yes_ If yes, describe. Page _72____ Guarantees: Starbucks has guaranteed to repay certain Japanese yen-denominated bank loans and related interest and fees of an unconsolidated equity investee, Starbucks Japan. The guarantees will continue until the loan and the
Market Update:
(Stock price this week)
Price_________on date___________
LIABILITIES
Name of company chosen: _________Starbucks______________________
Refer to the financial statements and notes to the financial statements. The first note, “Summary of Significant Accounting Policies,” provides information about the company’s ac-counting methods. You will also need to refer to the other notes to the financial statements and to the financial statements themselves in order to answer the following questions.
IMPORTANT: Indicate the page number on which the information was found.
THE BASICS
1. What is the amount of the company’s current liabilities? Page 44 This year $2075.8 Mil Last year $177.91 Mil 2. What is the amount of the company’s long-term liabilities? Page 44 This year $897.3 Mil Last year $924.5 mil
3. Refer to the notes to the financial statements. Does the company report any other commitments or contingent liabilities? __Yes___ If yes, provide a description of any con-
tingencies discussed. Page 42, 53 Starbucks has AROs that are associated with leasehold improvements that are required to be removed at the end of the lease. The liability is estimated based on number of assumptions requiring management’s judgment, including store closing costs, cost inflation rates and discount rates, and is accreted to its projected future value over time. Gains or losses are recognized when there is a discrepancy between the recorded ARO liability and actual amount. 4. Refer to the notes to the financial statements. Does the company disclose any off-balance- sheet financing arrangements? __Yes_ If yes, describe. Page _72____ Guarantees: Starbucks has guaranteed to repay certain Japanese yen-denominated bank loans and related interest and fees of an unconsolidated equity investee, Starbucks Japan. The guarantees will continue until the loan and the