Question
The Coca-Cola Company and PepsiCo, Inc. provide refreshments to every corner of the world. Selected data from hypothetical consolidated financial statements for The Coca-Cola Company
The Coca-Cola Company and PepsiCo, Inc. provide refreshments to every corner of the world. Selected data from hypothetical consolidated financial statements for The Coca-Cola Company and for PepsiCo, Inc. are presented here (in millions).
Coca-Cola | PepsiCo | |||||||
---|---|---|---|---|---|---|---|---|
Total current assets | $26,373.9 | $14,711 | ||||||
Total current liabilities | 13,881 | 8,916 | ||||||
Net sales | 31,181 | 45,733 | ||||||
Cost of goods sold | 11,182.6 | 19,383 | ||||||
Net income | 6,331 | 5,854 | ||||||
Average (net) accounts receivable for the year | 3,584 | 4,814 | ||||||
Average inventories for the year | 2,431 | 2,730 | ||||||
Average total assets | 44,755 | 38,081 | ||||||
Average common stockholders equity | 22,796 | 14,716 | ||||||
Average current liabilities | 13,515 | 8,932 | ||||||
Average total liabilities | 22,120 | 23,626 | ||||||
Total assets | 48,831 | 40,008 | ||||||
Total liabilities | 20,997 | 26,005 | ||||||
Income taxes | 2,200 | 2,260 | ||||||
Interest expense | 515 | 557 | ||||||
Net cash provided by operating activities | 8,346 | 6,956 | ||||||
Capital expenditures | 2,153 | 2,288 | ||||||
Cash dividends | 3,960 | 2,892 |
Compute the following liquidity ratios for the two competitors. (Round current ratio to 2 decimal places, e.g. 6.25 and all other answers to 1 decimal place, e.g. 15.1.)
Coca-Cola | PepsiCo | ||||||||
---|---|---|---|---|---|---|---|---|---|
(1) | Debt to assets ratio | % | % | ||||||
(2) | Times interest earned | times | times | ||||||
(3) | Free cash flow |
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