What costs at Uber’s Manhattan office would be direct versus indirect for various cost objects? Original blog posting (December 8, 2016)

Uber Facts Privately-held $66 billion ride- sharing company Over 8,000 employees, not counting independent contractor drivers Manhattan office in NYC 54,000 square feet Houses engineering, communications, IT, HR, business development, and operations Weekly breakfasts; gym; monthly Uber credits; daily catered lunch; beer, wine, coffee available; table tennis office tournaments

Question 1 List as many costs as you can imagine that would be incurred for the Uber Manhattan office.

Question 2 Assuming the U.S. Uber Division is the cost object, what costs related to the Manhattan office would be direct to the U.S. Division? What costs would be indirect?

Question 3 Assuming the Manhattan office is the cost object, what costs would be considered direct to the Manhattan office? What costs would be indirect?

Question 4 Assuming the Engineering team at the Manhattan office is the cost object, what costs would be considered direct to the Manhattan Engineering team? What costs would be indirect?

Question 5 Assuming one Uber car ride in NYC is the cost object, what costs related to the Manhattan office would be direct to the car ride? What costs would be indirect?

Question Recap List as many costs as you can imagine that would be incurred for the Uber Manhattan office. Assuming the U.S. Uber Division is the cost object, what costs related to the Manhattan office would be direct to the U.S. Division? What costs would be indirect? Assuming the Manhattan office is the cost object, what costs would be considered direct to the Manhattan office? What costs would be indirect? Assuming the Engineering team at the Manhattan office is the cost object, what costs would be considered direct to the Manhattan Engineering team? What costs would be indirect? Assuming one Uber car ride in NYC is the cost object, what costs related to the Manhattan office would be direct to the car ride? What costs would be indirect?

For additional news stories to use in the accounting classroom, see the Accounting in the Headlines blog at http://accountingintheheadlines.com/ Questions or comments? Contact Dr. Wendy Tietz at wtietz@kent.edu