Starbucks 10-k link: https://www.sec.gov/Archives/edgar/data/829224/000082922414

Question

Starbucks 10-k link: https://www.sec.gov/Archives/edgar/data/829224/000082922414000041/sbux-9282014x10k.htm#s6571E5A222BF69F5F8068EA40E001FDA Many companies, including Starbucks, compensate employees using company stock. Review the 10-K of Starbucks and answer the following: How many stock options were outstanding at the end of 2014? What was the estimated fair value per option for the options granted in 2014? What is the remaining amount of compensation expense to be recognized over the remaining vesting period?

Explanation / Answer

Firstly, please note Star Bucks uses September 28, 2014 for 10-K

a.)There are 7.4 Million Shares outstanding as ESPP on Sep-28,2014.

[56 Million in total for various future equity based compensation]

b.)Estimated Fair Value for options granted in 2014 is $16.72

c.)As of September 28, 2014, total unrecognized stock-based compensation expense, net of estimated forfeitures, related to nonvested stock options was approximately $35 million, before income taxes, and is expected to be recognized over a weighted average period of approximately 2.6 years.

Good Luck

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