There are 3 questions

1.See Attachment For this Question

2.What is the purpose of the income statement and balance sheet? How are income statements, balance sheets, and retained earnings statements related? How do you classify assets and liabilities into various groups for reporting in a balance sheet? What is the purpose of a cash flow statement?

3.Please contrast the differences in financial reporting for the balance sheet between U.S. GAAP and i-GAAP. Which method do you prefer? Why?

PepsiCo and Coco Cola 1. How much working capital did each of these companies have at the end of 2014? Speculate as to their rationale for the amount of working capital they maintain. The Coca-Cola Company is the world's largest beverage company. It owns or licenses and markets more than 500 nonalcoholic beverage brands, primarily sparkling beverages, but also a variety of still beverages such as waters, enhanced waters, juices and juice drinks, ready-to-drink teas and coffees, and energy and sports drinks. Finished beverage products bearing Coca-Cola trademarks, sold in the United States since 1886, are now available in more than 200 countries. To access Coca-Cola's complete annual report, including notes to the financial statements, follow these steps: 1. Go to http://www.coca-colacompany.com/investors/. 2. Select Financial Reports and Information and then click on 2014 Annual Report on Form 10-K. 3. The Notes to Consolidated Financial Statements begin on page 78. Pepsico, Inc. is a leading global food and beverage company with a complementary portfolio of enjoyable brands, including Frito-Lay, Gatorade, Pepsi-Cola, Quaker, and Tropicana. Through its operations, authorized bottlers, contract manufacturers, and other third parties, PepsiCo makes, markets, distributes, and sells a wide variety of convenient and enjoyable beverages, foods, and snacks, serving customers and consumers in more than 200 countries and territories. To access PepsiCo's complete annual report, including notes to the financial statements, follow these steps: 1. Go to http://www.pepsico.com/Investors. 2. Select SEC Filings and then the 10K, dated 2/12/2015 (select the pdf version). 3. Select Entire document. 4. The Notes to Consolidated Financial Statements begin on page 73. 1. Consolidated Statement of Income 2. PepsiCo, Inc. and Subsidiaries 3. Fiscal years ended December 27, 2014, December 28, 2013 and December 29, 2012 4. (in millions except per share amounts