Starbucks has followed generally accepted accounting

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Starbucks has followed Generally Accepted Accounting Principles within their explanations of calculations and recording of accounts. Horizontal and Vertical Analysis; Accounts Receivable- When conducting a horizontal analysis on accounts receivable, there has been an observed 14% increase from 2014 to 2015. This means that Starbucks has an increase in incoming cash yet to be paid. Upon receiving, those accounts will be turned into cash demonstrating Starbucks accrual accounting method. Through vertical analysis, Starbucks is showing that 15% of their assets are in accounts receivable by September 28, 2014 and increasing to 17% by September 27, 2015. Asset Acquisition, Depreciation, and Amortization Horizontal Observations- from fiscal year 2014 to 2015, Starbucks has shown significant expansion in global markets accounting for a 569.3 million or a 16% change from 2014. Within this time-period, goodwill significantly increased 84% from 856.2 million to 1575.4 million in 2015. Starbucks also saw a significant increase (90% over 2014) in other intangible assets form acquisitions over this time.
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[SHORTENED TITLE UP TO 50 CHARACTERS] 5
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[SHORTENED TITLE UP TO 50 CHARACTERS] 6 References Averkamp, Harold (2018). AccountingCoach, LLC US , Last Name, F. M. (Year). Book Title. City Name: Publisher Name Financial Accounting, Pearson Custom. Tenth Edition 2014
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  • Fall '14
  • Balance Sheet, Generally Accepted Accounting Principles, Starbucks Corporation

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