PA13-5 Interpreting Profitability, Liquidity, Solvency, and P/E Ratios (L04, LO5) Coke and Pepsi are well-known International brands. Coca Cola sells more than $35 billion worth of beverages each year whille annual sales of Pepsi products exceed 543 billion. Compare the two companies as a potential investment based on the following ratios Ratio Gross profit percentage Net profit margin Return on equity EPS Receivables turnover ratio Inventory turnover ratio Current ratio Debt-to-assets P/E ratio Coca-Cola 63.9% 33.6% 37.7% $5.06 3.6 5.1 1.17 0.57 12.6 PepsiCo 54.1% 10.9% 29.4% $3.91 10.6 8.9 1.11 0.68 16.2 ces Required: 1-o. Which company appears more profitable? Coca-Cola PepsiCo 1-b. Describe the ratio(s) that you used to reach this decision. (Select all thot apply.) Gross profit percentage Not profit margin Return on equity Farines nar share