Managerial accounting relies on internal detailed data, something that is not publicly available. However, it is amazing how much information a 10-K filed with the SEC contains. We can use this information with some assumptions to better understand concepts, analyze, and budget. Look at Netflix, download the company’s 10-K for the past three years from its website (http://ir.netflix.com/) or the SEC database (http://www.sec.gov/edgar.shtml). Review some information and learn about the company and how we can use the information contained in the 10-K. Would you classify Netflix as a service company, a merchandiser, or a manufacturer? Does Netflix have any inventory? Which expenses would you classify as variable and which ones would you consider fixed based on traditional definitions? Identify the segments. Use the Description of Business and Management Discussion and Analysis in the 10-K to identify costs Netflix incurs in each element of the value chain. Identify some of the company’s other cost objects, if any. Why is this information relevant? Always include the name of the organization(s), time period covered and source of information. It is important to answer the questions as posed. The document should be 2 pages and written in a clear and concise manner, or present tables as required. Support your discussion or tables with references in APA format. You are encouraged to use Excel or other compatible spreadsheets when computations are involved. You can turn in the spreadsheet instead. The content should be equivalent to the page length suggested for a word processing document.accountingexplanation.com. (n.d.). Advantages, Disadvantages, and Limitations of Variable Costing Systems. From http://www.accountingexplanation.com/advantages_disadvantages_limitations_of_variable_costing.htmMartin, J. R. (n.d.) Management Accounting: Concepts, Techniques, and Controversial Issues – Chapter 11: Conventional Linear Cost Volume Profit Analysis. Retrieved from http://maaw.info/Chapter11.htmSlideshare. (n.d.). Determining How Costs Behave. Retrieved fromhttp://www.slideshare.net/mingxinlu/cost-accounting-determining-how-cost-behavesWalther, l. (2012). Principles of Accounting. Chapter Twenty-Three: Reporting to Support Managerial Decisions. Retrieved fromhttp://www.principlesofaccounting.com/ accountingexplanation.com. (n.d.) Welcome to Accounting Explanation Website. Retrieved from http://www.accountingexplanation.com/Securities and Exchange Commission (SEC). (2007). Beginner\’s Guide to Financial Statements. Retrieved from:http://www.sec.gov/investor/pubs/begfinstmtguide.htm

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