Obtain Starbucks’s 2017 annual report either using the “Investor Relations” portion of its web site (do a Web search for Starbucks investor relations) or go to http://www.sec.gov and click “Search for company filings” under “Filings and Forms (EDGAR).”

Required:
1. With regard to Starbucks’s current liabilities:
(a) How does Starbucks value its current liabilities and is this valuation justified?

(b) What were Starbucks’s total current liabilities at the end of its 2017 fiscal year.
(c) What was the largest current liability?
Describe other significant current liabilities as well.
2. What did accrued liabilities consist of at the end of the fiscal year?
3. Is Starbucks involved in litigation? If so, what can be concluded from its disclosures regarding this litigation?
4. Compute Starbucks’s current ratio and payables turnover for its 2017 fiscal year and provide any relevant comments.