The financial statements of PepsiCo, Inc. are presented in Appendix A at the end of this textbook.

Instructions Answer the following questions using PepsiCo’s Consolidated Statement of Income.

(a) What was the percentage change in (1) sales and in (2) net income from 2008 to 2009 and from 2009 to 2010?

(b) What was the company’s gross profit rate in 2008, 2009, and 2010?

(c) What was the company’s percentage of net income to net sales in 2008, 2009, and 2010?

Comment on any trend in this percentage.

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