Leverage Ratios Find the 2018 financial statements for PepsiCo and Coca-Cola. For each company, navigate to the company's website, then to "investor" or "investor relations" and locate their 2018 balance sheet. Calculate the following leverage ratios discussed in Chapter 5 of your text: Liabilities to Assets Ratio Liabilities to Shareholders' Equity Ratio Long-term Debt to Long-term Capital Ratio Discuss the long-term debt-paying ability of PepsiCo vs. Coca-Cola based on these ratios.

PEPSI

THE COCA-COLA COMPANY AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS December 31. 2018 2017 (In millisons ewept par value) ASSETS CURRENT ASSETS Cash and cash equivalents THE COCA-COLA COMPANY SHAREOWNERS' BQUTTY Common stock, $0.25 par value; Authorized 11,200 shares: Issued 7,040 and 7,040 shares, respectively Capital surplus Reinvested earnings Accumulated other comprehensive income (loss) Treasury stock, at cost 2,772 and 2,781 shares, respectively EQUTTY ATTRIBUTABLE TO SHAREOWNERS OF THE COCA-COL.A COMPANY EQUTTY ATTRIBUTABLE TO NONCONTROLLING INTERESTS 1,76016,52063,234(12,814)1,76015,86460,430(10,305) TOTAL EQUTTY TOTAL LIABILITIES AND EQUITY $ 83,216 \$ 87,896 (a) Represents consideration beld by our paying agent in connection with our acquisition of SodaStream. Note 15 - Supplemental Financial Information 2016 13037(30)(3)134 a LIFO and (d) See Note 7 for additional information regarding our pension plans. THE COCA-COLA COMPANY AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS December 31. 2018 2017 (In millisons ewept par value) ASSETS CURRENT ASSETS Cash and cash equivalents THE COCA-COLA COMPANY SHAREOWNERS' BQUTTY Common stock, $0.25 par value; Authorized 11,200 shares: Issued 7,040 and 7,040 shares, respectively Capital surplus Reinvested earnings Accumulated other comprehensive income (loss) Treasury stock, at cost 2,772 and 2,781 shares, respectively EQUTTY ATTRIBUTABLE TO SHAREOWNERS OF THE COCA-COL.A COMPANY EQUTTY ATTRIBUTABLE TO NONCONTROLLING INTERESTS 1,76016,52063,234(12,814)1,76015,86460,430(10,305) TOTAL EQUTTY TOTAL LIABILITIES AND EQUITY $ 83,216 \$ 87,896 (a) Represents consideration beld by our paying agent in connection with our acquisition of SodaStream. Note 15 - Supplemental Financial Information 2016 13037(30)(3)134 a LIFO and (d) See Note 7 for additional information regarding our pension plans