PepsiCo, Inc. versus The
Coca-Cola Company This week’s Discussion topic comes from BYP11-2, p. 561 of
your textbook. PepsiCo, Inc. and Coca-Cola Company financial statements are in
Appendix C. Use their financials to answer the following questions:
(a) At December 31, 2011, what was PepsiCo’s largest current liability account? What were its total current liabilities? At December 31, 2011, what was Coca Cola’s largest current liability account? What were its total current liabilities?
(b) Based on information contained in those financial statements, compute the following 2011 values for each company:
(1) Working Capital
(2) Current Ratio
(c) What conclusions concerning the relative liquidity of these companies can be drawn from these data?
Field of study: