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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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