Posted by & filed under Advanced Accounting, Corporate Strategy.

Description: Coffee chain Second Cup may be looking for a buyer. It is revising its strategic plan in which it had targeted opening up to 85 new stores by 2018. With sales down 1.2 per cent this year, Second Cup might have trouble meeting an upcoming debt payment. But there are a couple of potential buyers who may Second Cup it as an attractive option despite these weaknesses.

Date: October 31, 2016



Discussion Points:

1) What strategies might Second Cup look at in addition to seeking a buyer?

2) Wiley’s  Financial Accounting: Tools for Business Decision Making discusses Tim Horton’s in the opening vignette of Chapter 11. How do the results of Tim Horton’s discussed in the vignette compare to those of Second Cup?

3) What would be some of the key accounting issues that a company acquiring Second Cup would have to deal with?

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