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Mondelez International. Module 11: Adjusting accounting Information. Company Overview. Spin-Off of Kraft Foods, Inc.; name then changed to Mondelez International in October, 2012. Global net revenues of $35.0B.
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Mondelez International Module 11: Adjusting accounting Information
Company Overview Spin-Off of Kraft Foods, Inc.; name then changed to Mondelez International in October, 2012. Global net revenues of $35.0B. Holds #1 leading market shares in biscuits (cookies and crackers), chocolate, candy, and powdered beverages as well as #2 position in gum and coffee. Operates in over 80 countries and competes in ~165 countries around world.
Strategy Market Growth Strategy: Mondelezis seeking to expand to countries around the world, primarily in emerging markets. Seeks to develop best-in-class sales and distribution capabilities across key markets in both developing and developed markets.
Products • Five consumer sectors: • Biscuits, chocolate, gum and candy, beverages, and cheese and grocery. • Owns some of best known industry products including Jacob’s coffee, Oreo, Ritz, Triscuit, Nabisco, Honey Maid, Macaroni and Cheese, Velveeta. • Over past five years company has seen an increase in demand for its products. • Past 5 years increases in prices of wheat, sugar, coffee beans have been passed onto consumer in form of higher prices.
Inventory • From MDLZ 2013 Annual Report, under Note 1: Inventories: Inventories are stated at the lower of cost or market. We value all our inventories using the average cost method.
Operating Leases Note: 2013 operating lease retal expense of $386m given in footnote. MDLZ cost of debt is 3.23%.
Operating Leases Adjusting Journal Entries:
Employee Stock Options Adjusting Journal Entries: