Executive Summary on Starbucks

This annual report consists of two parts: management’s discussion and analysis (this section) and the basic financial statements. The basic financial statements include a series of financial statements. The Statement of Net Assets and the Statement of Activities (on pages and ) provide information about the activities of the [type of entity] as a whole and present a longer-term view of the [type of entity]’s

1. There are several sections to an annual report. The two main sections are the written section from management to shareholders, and the second section is the 10-K. The written section is entirely optional; some companies omit it while others prepare an extensive write-up. There is no set form for this section. Starbucks' 2011 Annual Report has a 4 page write-up with a letter from Howard Schultz and a brief description of the company's business for the past year. The 10-K does have a set form. It includes a five-part discussion of the business; the financial data, which is the largest part of the report; a five-part discussion of relating to governance and the executive and the last part is the exhibits.

A comparison of the 2008 and 2009 inventory depicts a decline in 2009 that suggests Starbucks Corporation is not making inventory purchases prior to selling the current on-hand inventory. The current economic struggles have forced Starbucks Corporation to make some adjustments in the financial strengths of the company and close some coffee shops throughout the 2009 fiscal year, appearing as a decrease to the current assets of Starbucks Corporations. The decrease in the current assets and fixed assets of Starbucks Corporation the total assets for the 2009 fiscal year have increased by $300 million (Starbucks Corporation, 2010).

Current assets - Cash and other resources that companies reasonably expect to convert to cash or use up within one year or the operating cycle, whichever is longer. Current liabilities - Obligations that a company reasonably expects to pay within the next year or operating cycle, whichever is longer. Current ratio - A measure used to evaluate a company's liquidity and short-term debt-paying ability; computed as current assets divided by current liabilities. Debt to total assets ratio - Measures the percentage of total financing provided by creditors; computed as total debt divided by total assets. Earnings per share (EPS) - A measure of the net income earned on each share of common stock; computed as net income minus preferred stock dividends divided by the average number of common shares outstanding during the year. Economic entity assumption - An assumption that every economic entity can be separately identified and accounted for. Financial Accounting Standards Board (FASB) - The primary accounting standard-setting body in the United States.

The net income on the income statement is used on the equity section for the balance sheet. When the net income increases of decreases because of revenue or expenses this carries over to the balance sheet under the equity section and reflects those fluctuations. This helps to give a better

* Statement of net assets (Balance sheet) presentation required classification of current and non-current of assets and liabilities. Equity section presents: Net Assets Invested in Capital Assets, Care Organizations Net of Related Debt, Restricted Net Assets, and Unrestricted Net Assets.

| |financial statements related to cash and cash equivalents, receivables, and inventories. | | |

Income statements and balance sheets were reviewed to summarize the following key points that could

The cash flow statement shows the amount of cash within a company. Items that affect the cash balance are listed on the statement. The first section of the cash flow statement is operating activities, which shows the cash flowing in and out of the company in relation to its business operation. The operating activities section also includes net income and the change in dollars of certain accounts listed on the balance sheet. The next section, investing activities, shows cash the company received and spent on a company's capital investments. The financing activities section shows the inflows and outflows of cash related to the company’s issued financial securities, which is also listed on the balance sheet and statement of shareholders' equity.

Current and historical Financial Statements (Income Statement (I/S), Balance Sheet (B/S) and Statement of Cash Flows) from the three most current years for the firm

The liabilities for Starbucks have seen an increase in the past two annual reports. In the past two years the accounts payable has increase by almost double each year. In the year 2010 the total of accounts payable was a total of $282.6 million. In the year ending of 2011, the total of accounts payable was a total of $540 million. The total current liabilities at the end of 2010 were a total of $1,779.1billion. The total current liabilities at the end of 2011 were a total of $2,075.8 billion. Starbucks has several current liabilities at hand. The two largest current liabilities are the accrued expenses and other current liabilities. Accrued expenses for year end of 2010 was $836 million where as it was a total of $831.7 million for year end of 2011. The other current liabilities totaled at $660.5 million for year end of 2010 and $704.1 million for the year end of 2011. Gathering information from the balance sheets confirms the total liabilities for the year end of 2010 at $1,779.1 billion. The total cost of Starbucks liabilities for the year end of 2011 was $2,975.5 billion.

Starbucks financial statements were analyzed for the fiscal year ended September 27, 2015. Like all public companies, annual and quarterly financial statements are required to allow regulators and other interested parties to analyze the financial status and management decision making of the company. This analysis focuses on the results of Starbucks most recent published annual report containing their balance sheets, statement of earnings and cash flows. These statements will be analyzed against the results of one of its competitors, Dunkin Donuts, to investigate how the two companies compare to each other. It was noted that Starbucks and Dunkin Donuts do not have corresponding fiscal year ends. The data therefore is not directly comparable since the reports do not reflect the same time period of data but should provide additional insight. The paper will attempt to provide a brief analysis of Starbucks operations in terms of its liquidity, leverage, activity, profitability and growth ratios used by analysts in the industry.

Starbucks Corporation the leading coffeehouse in the world. It was founded in 1971 by Jerry Baldwin, Zev Siegel, and Gordon Bowker in Seattle, Washington. Howard Schultz was the key person who turned the company a huge success around the globe. Since the beginning Starbucks has been facing many tough challenges and yet it is still remains as the best coffee House in the world. The mission of Starbucks is to inspire and nurture the human spirit- one person, one cup, and one neighborhood at a time. Their main competitors are include Dunkin Donuts, Biggby Coffee, Caribou Coffee, McDonald 's, Panera Bread, and Einstein Bagels, ,Secret Recipe, Old Town White Coffee and Coffee Bean. The political stability shows what

Accounts Payable Current Portion of Long term Debt Total Current Liabilities Long Term debt Shareholders’ Equity Total Liabilities & Equities

The “financial statements are formal reports providing information on a company's financial position, cash inflows and outflows, and the results of operations” (Hermanson, p.22). There are four main components that make up a financial statement. The four parts are, balance sheet, income statements, cash flow and, statement of owner’s equity. The balance sheets role is to define the company’s assets liabilities and revenue of the business. The income statement shows the income within the company. Cash flow reviews the position of the company by cash payments and receipts. Lastly, the statement of owner’s equity shows the amount of earnings, stock and other capitals of people in the company. (Hermanson, p.34-35).