Comparative Analysis Problem: PepsiCo, Inc. vs. The Coca-Cola Company CT13-2. Pe

Question

Comparative Analysis Problem: PepsiCo, Inc. vs. The Coca-Cola Company

CT13-2.  

PepsiCo's financial statements are presented in Appendix B. Financial statements of The Coca-Cola Company are presented in Appendix C. Instructions for accessing and using the complete annual reports of PepsiCo and Coca-Cola, including the notes to the financial statements, are also provided in Appendices B and C, respectively.

Instructions

(a)  Based on the information contained in these financial statements, determine each of the following for each company.

1.The percentage increase (decrease) in (i) net sales and (ii) net income from 2010 to 2011.

2.The percentage increase in (i) total assets and (ii) total common stockholders' (shareholders') equity from 2014 to 2015.

3.The basic earnings per share and price-earnings ratio for 2011. (For both PepsiCo and Coca-Cola, use the basic earnings per share.) Coca-Cola's common stock had a market price of $75.05 at the end of fiscal-year 2011, and PepsiCo's common stock had a market price of $66.35.

(b)  

What conclusions concerning the two companies can be drawn from these data?

PepsiCo, Inc. is a world leader in convenient snacks, foods, and beverages. The following are PepsiCo's financial statements as presented in its 2015 annual report. To access PepsiCo's complete annual report, including notes to the financial statements, follow these steps:

1.Go to www.pepsico.com.

2.Select Annual Reports and Proxy Information under the Investors tab.

3.Select the 2015 Annual Report.

4.The Notes to Consolidated Financial Statements begin on page 79.

The Coca-Cola Company is a global leader in the beverage industry. It offers hundreds of brands, including soft drinks, fruit juices, sports drinks and other beverages in more than 200 countries. The following are Coca-Cola's financial statements as presented in its 2015 annual report. To access Coca-Cola's complete annual report, including notes to the financial statements, follow these steps:

•Go to www.coca-colacompany.com.

•Select the Investors, then select Financial Reports & Information.

•Select the 2015 Annual Report on Form 10-K.

•The Notes to Consolidated Financial Statements begin on page 80.

Refer to Notes to Consolidated Financial Statements.

Refer to Notes to Consolidated Financial Statements.

Refer to Notes to Consolidated Financial Statements.

Refer to Notes to Consolidated Financial Statements.

Explanation / Answer

Dear Student Comparisions between coco cola and pepsico PARTICULARS PEPSICO ( $ IN MILLIONS) COCO COLA ($ IN MILLIONS) COCO COLA VS PEPSICO 2010 2011 CHANGE 2010 2011 CHANGE 2010 2011 NET SALES 57838 66504 14.98323 449000 480100 6.926503 391162 413596 NET INCOME 6338 6462 1.956453 49700 59180 19.07445 43362 52718 PARTICULARS PEPSICO ( $ IN MILLIONS) COCO COLA ($ IN MILLIONS) COCO COLA VS PEPSICO 2010 2011 CHANGE 2010 2011 CHANGE 2010 2011 TOTAL ASSETS 63532 66504 4.677958 449000 480100 6.926503 385468 413596 TOTAL COMMON STAKE HOLDERS 2332 6462 177.1012 49700 59180 19.07445 47368 52718

Related Questions

Navigate

• Browse (All)
• Browse C
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.