Wendy's/Arby's Group Output (Year Ending Jan. 3, Essay

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WENDY'S/ARBY'S GROUP

Output (year ending Jan. 3, 2010)

$3,198,348

Output (year ending Dec. 28, 2009)

$1,662,291

Change in sales:

$1,536,057

Cost info (in thousands)

Cost Driver

Rate (Change in cost/change in sales)

Cost of sales

$2,728,480

$1,415,530

Facilities

$8,016

$3,221

Other (misc)

$3,239

Wendy's/Arby's Group 2010 Annual Report)

Wendy's/Arby's Group's basic sales operations, which consist of many different activities classified into broad categories of costs in company financial statements, are examined n the above table. Not all cost categories are represented, however the three that are most easily broken down (from the available information) into specific activities appear above: cost of sales, which includes all of the basic activities from material procurement through labor costs; facilities costs, which includes property maintenance, procurement, and other physical resource control; and other miscellaneous costs, which involve a number of different one-time and ongoing costs incurred in a given year (Gilman, 2011).

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The time period covered the 2008 and 2009 fiscal years (years ending Dec. 28, 2008 and Jan. 3, 2010), as these were the years with complete and consistent information available, and the input was taken directly form the company's own annual report: output figures are the….....

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