Financial Statement reflects the position of assets and liabilities of the organization. Thus, the financial statement should reflect a true and fair view of the state of affairs of the Company. On submitting the XBRL document to SEC, we are communicating the state of assets , liabilities of the organization to SEC i.e. we are submitting the financial results and financial position of the company to SEC, thus the same should be correct in all aspects. However, on review of the Financial Statement of Starbuck we have noted certain discrepancies: - The cash carrying value should be 2,128,800,000, instead of the carrying value reflected in the XBRL document. The cash balance reflects the liquidity position of the organization. It helps the company to understand the working capital availability position and to make a proper estimates regarding the day to day functioning of the organization. In case the same is reflected incorrectly in the financial statement, the users of financial statement may not be able to take the proper decision regarding the fund position and liquidity of the company The Accounts payable reflected in XBRL document is understated by 760,600,000. The same is stated as a negative but should be positive 730,600,000. This means that the company has short recorded the liability by 730,600,000 and have increased the assets unnecessarily. The Financial statement is showing that the company has paid advances and is entitled to receives services from the creditors amounting to 730,600,000.However, the same is not correct. Instead the company needs to make payment to creditors and they have already availed services from the creditors. On computation of liquidity ratio with the accounts payable reflected in XBRL document, the same will be highly over-stated The Retained earnings in XBRL document is overstated and the same should be 5,949,800,000. This means that the company is showing their profit overstated by 5,949,800,000. They are showing that the company have profit and they can utilize the same for dividend and for other reserves creation etc. This reflects that the company is performing very good but the actual scenario may not be like this. In case any person will take any investment decision on the basis of the position reflected in Financial Statement, he may not achieved as per his desires and estimates The Net revenue in XBRL document is understated and the same should be 16,844,100,000. Reflection of incorrect revenue will result in computation of wrong profit and ultimately the retained earning of the organization will also gets effected. The gross profit, net profit ratio etc. will also not computed correctly as the sales is not representing the correct picture.

Write a formal memo to the SEC to explain the correction of the irregularities