Find the Coca-Cola Company (KO) and PepsiCo, Inc. (PEP) on Yahoo Finance and look at the financial statements of each.

a. Which firm uses more debt finance?

b. Which firm has a higher liquidity?

c. Which has higher profitability (gross and operating)?

d. Which has higher profits per dollar of shareholders equity?

e. Use DuPont analysis (i.e., use the version of a product of three ratios) to explain why the ROEs of these two companies are different.

f. Based on your analysis, which stock do you want to buy?

(Note: Use the quarterly financial statements to calculate the latest ratios (i.e., Q2 of 2022))