Use Starbucks balance sheet dated 10/02/2011 (on the opposite page) to answer the following questions. a. How

Question:

Use Starbucks’ dated 10/02/2011 (on the opposite page) to answer the following questions.
a. How much do customers owe this company? ___________ million
b. For inventories, $965.8 million is the (___________ / current market value / can’t tell).
c. For property, plant, and equipment, net, $2,355.0 million is the (acquisition cost / current market value / ___________ / can’t tell).
d. What amount of investments does this company intend to hold for more than a year? ___________ million
e. (PPE / ___________ / Long-term investments) is created when a company is acquired.
f. How much does this company owe to suppliers? ___________ million
g. Current assets total ___________ million and current liabilities total ___________ million. Current assets are used to pay off (___________ / noncurrent) liabilities. This company has (___________ / insufficient) current assets to pay off its current liabilities.
h. Noncurrent assets total ___________ million and noncurrent liabilities total ___________ million. Noncurrent liabilities are used to finance (current / ___________) assets.
i. Contributed capital represents (amounts borrowed / ___________ / net income earned by the company).
j. This company is relying primarily on (long-term debt / contributed capital / ___________ ___________) to finance assets, which is an (external / ___________) source of financing.
k. The reports a company’s financial position (___________ / over a period of time).
l. Assets and liabilities are recorded on the in order of (magnitude / alphabetically / ___________), which means that (PPE / ___________) will always be reported before (___________ / cash).
m. U.S. and IFRS treat (___________ / PPE) essentially the same. However, for (cash / ___________), IFRS allows valuation at fair value, whereas U.S. requires (___________ / fair value).
GAAP
Generally Accepted Accounting Principles (GAAP) is the accounting standard adopted by the U.S. Securities and Exchange Commission (SEC). While the SEC previously stated that it intends to move from U.S. GAAP to the International Financial Reporting Standards (IFRS), the... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...