Coca-Cola's Internal Environment Coke's Value Chain- What does Coke do that adds value to the Coca-Cola Company The inbound logistics aspect of Coca-Cola is very strong as they have over 300 distribution or bottling centers across the globe serving to over 200 countries. Having many distribution facilities will minimize shipping time to decrease shipping costs and therefore increase revenue. A lot of research is put into the design and layout of the warehouse and other bottling centers. Since having intelligently laid out these warehouses, Coca-Cola has increased efficiency. Not only having inbound warehouses being effectively designed, Coca-Cola incorporates this layout technology in their outbound factories to increase their overall workflow design. Coca-Cola is one of the most recognizable brands in the world and continues to market their product extremely well. Coke's trademark value is estimated at a whopping $25 billion. The brand basically sells itself, but Coke is not just sitting back and being lazy. The Coca-Cola Company actively researches the needs of its customer segments and targets to provide drinks and snacks that people will want. As a luxury product, Coke understands that luxury items are the first things to go when times get tough. For this reason they provide excellent service to their suppliers and customers. Without excellent service, a beverage company will fall by the wayside as there are many other products out there to substitute any type of drink. 3 With over 500 brands owned by the Coca-Cola Company, there are many raw materials that are needed to support these snack and beverage brands. The main ingredient most of Coca-Cola's products is water. Coke understands the difficulties with many countries receiving fresh water and they work hard to deliver to these remote areas. Other than water, nutritive and non-nutritive sweeteners are used in their products. Coke has developed win-win relationships with their suppliers because both parties are in understanding that they will do a lot of business together. Coke does depend on one supplier for different ingredients they use. This could be dangerous for Coke as the supplier may take advantage of this relationship. The Coca-Cola Company is massive and has its own internal administration. These internal divisions include Human Resources, Information Technology, Accounting and others. They also spend millions of dollars a year on research and development of new products. Continually changing and understanding the needs and wants of the world's population will lead to happier customers and increased revenues. Required:

(a) Analyze this case and conduct a Value Chain Analysis (VCA) for Coca Cola Company.

b) Managing the value system for a global business like Coca Cola requires an organisation to make two broad choices. Discuss the two choices in light of the Coca Cola Company.

Blackberry Mountain Inc began business on January 1, 2020. The following transactions occurred during the month of January.
1 Company issued common stock for $21,000
2a Supplies are purchased for $3,000.
2b Insurance is paid for 6 months beginning January 1: $5,400 (record as an asset)
2c Rent is paid for 3 months beginning in January: $4,500 (record as an asset)
3 Blackberry Mountain Inc borrows $45,000 from 1st State Bank (due in the year 2025) at 12%
annual interest.
6 An equipment is purchased for $22,500 cash. It will be used for 3 years and will be depreciated
monthly using straight-line depreciation with no salvage value. A full month of depreciation will
be charged in January.
9 Services are performed for customers on account. Invoices totaling $9,800 are mailed. 10 Services are performed for cash customers: $7,600.
15 Blackberry Mountain Inc borrows $16,000 from 2nd State Bank (due in the year 2030) at 9%
annual interest.
16 Wages for the first half of the month are paid on January 16: $4,200
20 The company receives $3,000 from a customer for an advance order for services to be provided in
January and February.
25 Collections from customers on account (see January 9 transaction): $4,500. 30 A $3,100 utility bill for January arrived. It is due on February 15.
Additional information for the adjusting entries at January 31:
a. The company completed 60% of the deliveries for the customer that paid in advance on January 20th.
b. Interest is accrued for the two bank loans (assume a full month for the 1st State Bank loan and 1⁄2 month for the 2nd State Bank loan).
c. The last 2 weeks wages earned by employees are $4,200 and will be paid on February 3rd. d. Record January depreciation.
e. Adjust the prepaid asset accounts as needed.
f. Supplies of $ 2500 were still available on January 31.
Instructions
1. Prepare journal entries for each event. 2. Prepare the t-accounts
3. Prepare unadjusted Trial Balance.
4. Record Adjusting Entries.
5. Prepare Adjusting Trial Balance.
6. Prepare Income Statement, Balance sheet, and Statement of Retained Earnings.

Vulcan Flyovers offers scenic overflights of Mount St. Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appear below:

The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount.

Required:

1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

On January 1, 2017, Sandhill Co.'s accounting records contained these liability accounts.

During January, the following selected transactions occurred.

During January, the company’s employees earned wages of $72,900. Withholdings related to these wages were $5,577 for Social Security (FICA), $5,207 for federal income tax, and $1,562 for state income tax. The company owed no money related to these earnings for federal or state unemployment tax. Assume that wages earned during January will be paid during February. Wages or payroll tax expense have not been recorded as of January 31.

Vulcan Flyovers offers scenic overflights of Mount St. Helens, the volcano in Washington State that explosively erupted in 1982. Data concerning the company’s operations in July appear below:

The company measures its activity in terms of flights. Customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount.

Required:

1. Prepare a flexible budget performance report for July that includes revenue and spending variances and activity variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Garvey Company’s unadjusted trial balance includes the following account balances as of December 31, 2015: Debits Credits Cash $ 69,290 Accounts receivable 118,100 Interest receivable 1,360 Supplies 140,700 Prepaid insurance 8,850 Notes Receivable (short-term) 50,900 Equipment 282,000 Accumulated Depreciation––Equipment $ 65,400 Accounts payable 105,600 Salaries and Wages Payable 21,900 Unearned revenue 9,500 Notes Payable (long-term) 88,600 Common Stock 219,400 Retained earnings 145,600 Service revenue 41,100 Interest revenue 22,200 Supplies Expense 0 Repair and Maintenance Expense 26,850 Rent Expense 18,100 Depreciation Expense 0 Insurance Expense 0 Salaries and Wages Expense 3,150 Totals $ 719,300 $ 719,300

The following data are available to determine adjusting entries: A) Insurance purchased at the beginning of July for $8,850 provided coverage for twelve months (July 2015 through June 2016). The insurance coverage for July through December totaling $4,425 has now been used. B) The company estimates $8,300 in depreciation each year. C) Account showed $87,200 of supplies on hand at the end of the year. D) An additional $290 of interest has been earned but has not yet been uncollected on the outstanding notes receivable. E) Services in the amount of $5,750 were performed for customers who had previously paid in advance. F) Services in the amount of $2,300 were performed; these services have not yet been billed or recorded.

On January 1, 2017, Blossom Company's accounting records contained these liability accounts.

During January, the following selected transactions occurred.

During January, the company’s employees earned wages of $78,300. Withholdings related to these wages were $5,990 for Social Security (FICA), $5,593 for federal income tax, and $1,678 for state income tax. The company owed no money related to these earnings for federal or state unemployment tax. Assume that wages earned during January will be paid during February. Wages or payroll tax expense have not been recorded as of January 31.

Bal

Jan 1

Jan 5

Jan 12

Jan 14

Jan 20 Adj.

Jan 31

Jan 31

Jan 31

Bal

1-The Other Accounts column in the cash payments journal is used for recording debits to any account for which there is no specialized debit column.

True

False

2-The use of subsidiary ledgers is limited to Accounts Payable and Accounts Receivable.

True

False

3-The columns included in special journals are standardized for all businesses.

True

False

4-The purchase of supplies for cash would be recorded in the purchases journal.

True

False

5-Adjusting journal entries are recorded in a special journal.

True

False

6-The accounts receivable subsidiary ledger is an example of a special journal.

True

False

7-The customers ledger and the creditors ledger refer to subsidiary ledgers.

True

False

8-In a computerized accounting system, all postings happen automatically at the end of the month.

True

False

9-The Post. Ref. column of the revenue journal will reference the account number of the customer.

True False

The Doug and Bob Company currently pays a dividend of $2.00. The company plans to increase the dividend for the next four years at 10%. After four years, the growth rate will drop to 4% per year forever. Given a required return of 12%, what would you pay for the stock today (approximately)?

$104

$32

$38

$34

$48

Kaci Co. is expected to pay the following dividends over the next three years: $6, $3, and $1. Afterwards, the company pledges to maintain a constant 5% growth rate in dividends forever. If the required return on the stock is 10%, what is the current share price (approximately)?

$21

$27

$24

$33

$20

Duke stock’s dividend per share (DPS) last year was approximately what from the following quote.

52 weeksYldVolNet

Hi LoStockDiv%PE100sHiLoCloseChg

49 20Duke?2.318209454244.200.56

$1.02

$0.25

$4.07

$2.35

$2.89

A brokerage company is interested in forecasting the number of new accounts the office will obtain next month. It has collected the following data for the past 12 months.

1. Use a four month moving average starting with the month of May to forecast the number of new accounts the company may expect to receive next month (Year 2, Month 1). Compute MAD, MSE, MAPE, and MPE.
2. Use exponential smoothing with a smoothing constant of 0.15 and an initial value of 20 to forecast the number of new accounts the company may expect to receive next month. Compute MAD, MSE, MAPE, and MPE.
3. Which forecasting technique would provide the best results? Justify your answer.