Starbucks and its treatment of allocated costs


Question:

Retrieve any report in the Starbucks organization that allocates common costs to a division, product, or service. Recast that report with unallocated costs and comment on the usefulness of that revised report.

If you cannot identify specific actual amounts, make a reasonable estimate and apply the tool as if the data were factual.

If you are unable to identify any report with allocated costs, create a report that you think may apply to your organization and treat the data as if it were factual.

Include:

- The activity and time period you used
- The inputs you used
- Your results
- Any implications from your results

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