1. What depreciation method(s) does PBG use to account for its investment in property, plant and equipment (PPE)? 2. Estimate whether they had a gain or loss on the sale of its property, plant and equipment that it sold in fiscal year 2000. Note, for purposes of this question you can assume that all changes related to property, plant and equipment are operating related (meaning there are no nonarticulating items) 3. Explain whether you believe the gain/loss calculated in question 2 is likely accurate or not. If you believe it is accurate, discuss where the gain/loss is "buried" in the financial statements If you do not believe it is accurate, provide explicit reasons using data from the financial statements to indicate why the calculation mav be inaccurate 4. Estimate the fraction of fixed assets PBG depreciated in 2000. In other words, compute depreciation expense as a percent of the average gross book value of depreciable fixed assets What would this fraction have been if PBG had not changed their depreciation policy? 5. Adjust 2000 operating income to make it the most comparable to 1999 operating income Create a common size income statement where the line items are all divided bv net revenues Include net revenues, cost of sales, gross profit, SG&A, unusual charges, and operating income line items. Compare the margins between 1999 and the reported and adjusted 2000 figures. Discuss the implications of the changed depreciation policy moving forward