In this case study, students will be evaluated on their ability to analyze, interpret, justify, create ideas, propose viable and ethical solutions, and apply the best alternatives in the areas of managerial accounting and finance. Though basic guides are given below, students have the flexibility to be creative in showing their ability to apply the concepts and methods in managerial accounting and finance where students have to identify and elaborate on issues, create or estimate numbers or cash flows, and propose solutions, etc.

THE CASE

Students, to refer to Starbucks Case Study – How Starbucks Conquered The Coffee Industry? Based on the information given, prepare a thorough study on Starbucks by following the below guides/instructions. You must be specific and relate your answers to your job with Starbucks.

GUIDES / INSTRUCTIONS

Introduction to Financial Management
Identify and elaborate on your functions in managing finance in the said company. Relate the functions to your position as a Finance Manager in the said company and industry.

Capital Budgeting
The board also requested you to analyse two new business projects that could return the fastest initial outlay. Propose two new business projects, preferably relating to the same industry and apply Payback Period method. Prepare a table with your estimated 5-yearly expected cash flows as illustrated in the notes given. Recommend the best project for the coming years.