a. Do the ratio analysis using the framework provided b. Prepare common-size statements in the framework provided c. Do the Du Pont System analysis of ROE

2014 Coca-Cola 2015 2016 2017 2018 2014 Pepsi 2015 2016 2017 2018 45.9 44.5 42.0 32.1 66.71 11.8 179 30.9 63.5 28.8 28.2 64.7 29.4 33.3 Sales Cost of Revenue Gross Profit Operating Expenses Operating Profit Non-operating income 100 25.2 10.1 EBIT Interest solo EBT Taxes Net Income 4.9 | 2015 2016 2017 2018 2014 2015 2016 2017 2018 ASSETS 20 16.0 16.1 3 6.7 70 7.1 2.7 3.1 1.56 8.7 L 12.0 - 6.4 3.1 - 2.7 2.17 1.87 20.7 23.0 49.85 70.5 69.71 2.62 21.9 Cash and Cash Equivalents Accounts Receivables Inventory Other Current Assets Total Current Assets Net Fixed Assets Total Assets LIABILITIES -EQUITY Accounts Payable Short-term debt Other Current Liabilities Total Current Liabilities 33.0 59.04 92.0 33.4 56.70 90.1 | 34.0 53.26 3.51 30.6 52.58 83.2 36.5 51.35 87.9 1.57 27.1 47.04 74.1 46.64 31.01 48.78 79.8 55.76 77.6 9.7 8.4 18.2 2.39 13.1 4.0 5.03 22.1 29.2 34.94 37.52 41.73 8.4 8.9 5.1 4.1 4.664.60 18.1 17.6 34.87 40.06 53.0 57.6 -31.5 -38. 4 49.1 50.5 17.5 12.0 70.51 69.67 1.06 32.4 26.9 29.0937.40 61.5 64.3 -39.25 65.0 30.6 25.8 92.02 90.09 20.5 48.32 68.8 6.9 4.54 21.1 41.80 62.9 413 52.5 11.2 74.13 -32.85 Long-term Debt Total Liabilities Common Stock-Treasury Retained Earnings Total Stockholder Equity Total Liab - Total SH Equity -41.45 -44.18 410 40.91 63.00 -45.3 59.9 14.6 60.4 52.8 23.2 87.27 19.0 87.90 19.1 83.22|| 11.0 79.80 77.65 2014 2015 RATIO ANALYSIS 2016 2017 2018 2014 2015 2016 2017|| 2018 Liquidity Ratios Current Ratio Quick Ratio Asset Management Ratios Inventory Turnover Days Sales Outstanding Fixed Appete Turnover Total Assets Turnover Debt Ratios Debt Ratio Leverage Times Interest Earned Profitability Ratios Profit Margin Basic Earning Power Return-on-Assets Return-on-Equity $41.17 $41.57| $47.59 $93.781 $99.30 $103.781 $120.30 Market Value Ratios Year end Share Price No. of share (billions) Earnings per share Price-to-earnings 4.3 1.5 Not enough information to calculate this ratio Price-to-cash flow Market-to-Book Du Pont System PM "TA turnover 'Equity Multiplier BOE KKKK Coca-Cola 2015 2016 Pepsi 2015 2014 2017 2018 2014 2016 2017 2018 FINANCIAL ANALYSIS OF COCA COLA AND PEPSI COMMON SIZE STATEMENTS ON OOM 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 3 Sales 4 Cost of Revenus 5 Gross Profit 6 Operating Expenses 7 Operating Profit 8 Non-operating income 9 EBIT 0 Interest 1 EBT 2 Taxes 3 Net Income O U 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 00 Assets 9 Cash and Cash Equivalents 0 Accounts Receivables 01 Inventory 2 Other Current Assets 3 Total Current Assets 04 Not Fixed Assets 5 Total Assets KERETEKETE 7 Liab. Equity D8 Accounts Payable 09 Short-term debt 10 Other Current Liabilities 11 Total Current Liabilities 12 Long-term Debt 13 Total Liabilities 14 Common Stock 15 Retained Earnings and Capit 16 Total Stockholder Equity 17 Total Liab + Total SH Equity 2014 Coca-Cola 2015 2016 2017 2018 2014 Pepsi 2015 2016 2017 2018 45.9 44.5 42.0 32.1 66.71 11.8 179 30.9 63.5 28.8 28.2 64.7 29.4 33.3 Sales Cost of Revenue Gross Profit Operating Expenses Operating Profit Non-operating income 100 25.2 10.1 EBIT Interest solo EBT Taxes Net Income 4.9 | 2015 2016 2017 2018 2014 2015 2016 2017 2018 ASSETS 20 16.0 16.1 3 6.7 70 7.1 2.7 3.1 1.56 8.7 L 12.0 - 6.4 3.1 - 2.7 2.17 1.87 20.7 23.0 49.85 70.5 69.71 2.62 21.9 Cash and Cash Equivalents Accounts Receivables Inventory Other Current Assets Total Current Assets Net Fixed Assets Total Assets LIABILITIES -EQUITY Accounts Payable Short-term debt Other Current Liabilities Total Current Liabilities 33.0 59.04 92.0 33.4 56.70 90.1 | 34.0 53.26 3.51 30.6 52.58 83.2 36.5 51.35 87.9 1.57 27.1 47.04 74.1 46.64 31.01 48.78 79.8 55.76 77.6 9.7 8.4 18.2 2.39 13.1 4.0 5.03 22.1 29.2 34.94 37.52 41.73 8.4 8.9 5.1 4.1 4.664.60 18.1 17.6 34.87 40.06 53.0 57.6 -31.5 -38. 4 49.1 50.5 17.5 12.0 70.51 69.67 1.06 32.4 26.9 29.0937.40 61.5 64.3 -39.25 65.0 30.6 25.8 92.02 90.09 20.5 48.32 68.8 6.9 4.54 21.1 41.80 62.9 413 52.5 11.2 74.13 -32.85 Long-term Debt Total Liabilities Common Stock-Treasury Retained Earnings Total Stockholder Equity Total Liab - Total SH Equity -41.45 -44.18 410 40.91 63.00 -45.3 59.9 14.6 60.4 52.8 23.2 87.27 19.0 87.90 19.1 83.22|| 11.0 79.80 77.65 2014 2015 RATIO ANALYSIS 2016 2017 2018 2014 2015 2016 2017|| 2018 Liquidity Ratios Current Ratio Quick Ratio Asset Management Ratios Inventory Turnover Days Sales Outstanding Fixed Appete Turnover Total Assets Turnover Debt Ratios Debt Ratio Leverage Times Interest Earned Profitability Ratios Profit Margin Basic Earning Power Return-on-Assets Return-on-Equity $41.17 $41.57| $47.59 $93.781 $99.30 $103.781 $120.30 Market Value Ratios Year end Share Price No. of share (billions) Earnings per share Price-to-earnings 4.3 1.5 Not enough information to calculate this ratio Price-to-cash flow Market-to-Book Du Pont System PM "TA turnover 'Equity Multiplier BOE KKKK Coca-Cola 2015 2016 Pepsi 2015 2014 2017 2018 2014 2016 2017 2018 FINANCIAL ANALYSIS OF COCA COLA AND PEPSI COMMON SIZE STATEMENTS ON OOM 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 3 Sales 4 Cost of Revenus 5 Gross Profit 6 Operating Expenses 7 Operating Profit 8 Non-operating income 9 EBIT 0 Interest 1 EBT 2 Taxes 3 Net Income O U 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 00 Assets 9 Cash and Cash Equivalents 0 Accounts Receivables 01 Inventory 2 Other Current Assets 3 Total Current Assets 04 Not Fixed Assets 5 Total Assets KERETEKETE 7 Liab. Equity D8 Accounts Payable 09 Short-term debt 10 Other Current Liabilities 11 Total Current Liabilities 12 Long-term Debt 13 Total Liabilities 14 Common Stock 15 Retained Earnings and Capit 16 Total Stockholder Equity 17 Total Liab + Total SH Equity