• Coca-Cola Company reported the following financial data for the year:
  • Net Sales: $40 billion
  • Cost of Goods Sold: $15 billion
  • Operating Expenses: $10 billion
  • Income Tax Expense: $5 billion
  • Net Income: $7 billion

• Requirements:
  1. Calculate Coca-Cola's gross profit margin for the year.
  2. Prepare an income statement showing the components of operating expenses.
  3. Analyze the effective tax rate for Coca-Cola based on income tax expense and net income.
  4. Discuss the impact of foreign exchange rates on Coca-Cola's international operations.
  5. Evaluate the strategic importance of cost control in maintaining Coca-Cola's profitability.