Tempest in a K-Cup: Red Flags on Green Mountain
| Autor: | David J. Marcinko, Dennis Caplan, Saurav K. Dutta |
|---|---|
| Rok vydání: | 2015 |
| Předmět: |
business.industry
Financial statement analysis 05 social sciences 050301 education Context (language use) Accounting Commission 050201 accounting Channel stuffing Education Economy Capital (economics) 0502 economics and business Economics Cash flow Business Financial accounting Tempest Capital market 0503 education Red flags |
| Zdroj: | Issues in Accounting Education. 32:79-94 |
| ISSN: | 1558-7983 0739-3172 |
| DOI: | 10.2308/iace-51344 |
| Popis: | “Tempest in a K-Cup” discusses financial accounting and financial statement analysis in the context of Green Mountain Coffee Roasters. The case begins with background on the evolution of Keurig and Green Mountain. Next it discusses the rapid growth of Green Mountain and its step-wise acquisition of Keurig. The case focuses on events in 2011-2012, a period in which Green Mountain experienced significant stock price volatility, was challenged by the SEC about its financial disclosures and business relationships, and endured a public bashing by a well-known hedge-fund manager, David Einhorn of Greenlight Capital. Students completing the case gain a better appreciation for the level of scrutiny that financial statements receive from regulators, investors, and journalists. Specific topics include the use of trend analysis, ratio analysis, and free cash flows in analyzing a company’s prospects, the risk of channel-stuffing, and the role of short-sellers in capital markets. The case requires students to critically read, analyze and apply accounting guidance with respect to sales returns, related party transactions, and segment reporting. The case also requires students to read and analyze communications between the Securities and Exchange Commission (SEC) and Green Mountain. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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