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Profitability analysis The table shows total revenues, cost of goods sold, earnings available for common stockholders, total assets, and stockholders' equity for three companies

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Profitability analysis The table shows total revenues, cost of goods sold, earnings available for common stockholders, total assets, and stockholders' equity for three companies competing in the bottle drinks market: The Coca-Cola Company, Pepsico Inc., and Keurig Dr Pepper. a. Use the information given to analyze each firm's profitability in as many different ways as you can. Which company is most profitable? Why is this question difficult to answer? b. For each company, ROE >ROA. Why is that so? Look at the difference between ROE and ROA for each company. Does that difference help you determine which firm uses the highest percentage of debt to finance its activities? a. For the three companies, the gross profit margin is: (Round to three decimal places.) Gross profit margin Coca-Cola Pepsico Keurig Dr. Pepper (Click the icon here in order to copy the contents of the data table below into a spreadsheet.) Revenues Coca-Cola $41,855 Pepsico $62,794 Keurig Dr Pepper $6,445 Cost of goods sold 16,469 28,206 2,592 Earnings 6,530 6,329 847 Total assets 87,277 74,138 9,787 Shareholders equity 23,066 11,248 2,128

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