The following information was reported for Pepsi for 2022 Sales $67.1 billion and Accounts Receivable of $7.8 billion for 2021 Accounts Receivable was $7.1 billion. For Coca Cola for 2022 Sales $37.3 billion and Accounts Receivable of $4.0 for 2021 Accounts Receivable was $3.6 billion. With this information calculate the accounts receivable turnover and days sales in receivables for 2022 for both of these competitors.

a. Based on your calculations, which company is doing a more efficient job of collecting from customers. Explain.

b. Based on your answers which company is the most liquid? Why?

c. How much would Pepsi have to increase sales while keeping accounts receivable the same to get days sales in receivable to be 30 days?