Use the provided Financial Data {Excel tile} for Duke and Pepsi to complete the following analysis: 1. Calculate the current ratio and quick ratio for both companies for EDED and 221. Write a paragraph describing whatthese ratios indicate abotrt the liquidity of each company in 2021 compared to 202l]. Write a paragraph describing what these ratios indicate about the liquidity of Pepsi compared to Coke for both years. Which company seems to be more liquid? What are the advantages and disadvantages of liquidity? 2. Calculate the accounts receivable tumover and the average collection period for both companies for 2l2l2 and 21:121. Write a paragraph comparing 2W1 with aces and Coke with Pepsi using these two ratios to indicate the effectiveness of their accounts receivable coltections. Which of the two companies seam to be doing a betterjob with receivables? How does this collection process affect the overall success of the company? 3. Calculate the inventory turnover and the average sales period for both companies for 2020 and Edit Write a paragraph comparing 2E21 with Edit] and Coke with Pepsi using these two ratios to indicate how they manage their inventory. Which one of the two companies has a better approach to inventory management? Iutility? What are the problems that come with poor inventory management? 4. Calculate the gross margin percentage. net prot margin percentage. and return on assets for both companies for mm and 221. Explain in a paragraph what these ratios show about each company's protability compared to the year before and compared to each other. Indicate which company shows the best prospects for future prots and explain in detail vary you think the ratios support your observations. 5. Prepare a verticat analysis on the income statement and the balance sheet for Pepsi and tEoca Cola for mm and mat. Write a paragraph highlighting what you have teamed from the percentages of sates or total assets calculated from the nancial statements. Write also about the comparison behveen EDIE and 2321 and between Coke and Pepsi. 5. Prepare a borizontai analysis on the income statement and the balance sheet for Pepsi and Coca Cola for 2020 and Edit. Be sure to calculate the change in dollars and percentages for all of the revenues and expenses. What do the changes indicate about Pepsi's success in 2D'21 relative to 202i]? Do the same comparison for Coke's income statement. What do the changes indicate about Coke's improvement or lack thereof between 2521 and 2D2Cl? With this comparison of both companies over time now compare lGolite vs. Pepsi and explain why one company seems to do better than the other; nancially speaking. l'. Based on all of your calculations and observations described above. make a recommendation as to which company would be a better investment. Give the reasons for your conclusion. PEPSICO As of the end of Consolidated Balance Sheet - $ in Millions 2021 2020 2019 ASSETS Cash and cash equivalents $ 5,596 5 8,185 $ 5,509 Short-term Investments 392 1,366 229 Accounts and notes receivable, net 8,680 8,404 7,822 Inventories 4,347 4,172 3,338 Prepaid expenses and other current assets 980 874 747 Disposal Group, Including Discontinued Operation, Assets 1,78 Assets, Current 21,783 23,001 17,645 Property, Plant and Equipment, net 22,407 21,369 19,305 Amortizable Intangible Assets, net 1,538 1,70 1,433 Goodwill 18,381 18,757 15,501 Indefinite-lived Intangible Assets (Excluding Goodwill) 17,127 17,612 14,610 Equity Method Investments 2,627 2,797 2,683 Deferred Income Tax Assets, Net 4,310 4,372 4,359 Other Assets 4,204 3,312 3,011 Total Assets 92,377 92,918 78,547 LIABILITIES AND EQUITY Short-term debt obligations 4,308 8,780 2,920 Accounts payable and other current liabilities 21,159 19,592 17,541 Disposal Group, Including Discontinued Operation, Liabilities 753 Liabilities, Current 26,220 23,372 20,461 Long-Term Debt Obligations 36,026 40,370 29,148 Deferred Income Tax Liabilities, Net 4,826 4,284 4,091 Other Liabilities, Noncurrent 9,154 11,340 9,979 Liabilities 76,226 79,366 63,679 Commitments and contingencies Common stock, authorized 3,600 3,600 3,600 Common stock, issued 1,383 1,380 1,391 PepsiCo Common Shareholders' Equity Common stock, par value 12/30 per share (authorized 3,600 shares, issued, net of $ 23 $ 23 $ 23 epurchased common stock at par value: 1,380 and 1,391 shares, respectively) Additional Paid in Capital, Common Stock 4,001 3,910 $ 3,886 Retained Earnings (Accumulated Deficit) 65,165 63,443 61,946 Accumulated Other Comprehensive Income (Loss), Net of Tax $ (14,898) $ (15,476) $ (14,300) Repurchased common stock, shares 484 487 476 Treasury Stock, Value $ (38,248) $ (38,446) (36,769) Stockholders' Equity Attributable to Parent 16,043 13,454 $ 14,786 Stockholders' Equity Attributable to Noncontrolling Interest 108 98 82 Total Equity 16,151 13,552 14,868 Liabilities and Equity $ 92,377 $ 92,918 $ 78,547PEPSICO 12 Months Ended Consolidated Statement of Income - USD ($) shares in Millions, $ in Millions 2021 2020 2019 Income Statement [Abstract] Net Revenue $ 79,474 $70,372 $ 67,161 Cost of sales 37,075 31,797 30,132 Gross profit 42,399 38,575 37,029 Selling, general and administrative expenses 31,237 28,495 26,738 Operating Profit 11,162 10,080 10,291 Other pension and retiree medical benefits income/(expense) 522 117 (44) Net interest expense and other (1,863 (1,128) (935) Income before income taxes 9,821 9,069 9,312 Provision for income taxes 2,142 1,894 1,959 Net income 7,679 7,175 7,353 Less: Net income attributable to noncontrolling interests 61 55 39 Net Income Attributable to PepsiCo $ 7,618 $ 7,120 $ 7,314 Net Income Attributable to PepsiCo per Common Share Basic $ 5.51 $5.14 $ 5.23 Diluted $ 5.49 $ 5.12 $ 5.20 Weighted-average common shares outstanding Basic 1,382 1,385 1,399 Diluted 1,389 1,392 1,407COCA-COLA As of the end of CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions 2021 2020 2019 CURRENT ASSETS Cash and cash equivalents $ 9,684 $ 6,795 $ 6,480 Short-term investments 1,242 1,771 1,467 Total Cash, Cash Equivalents and Short-Term Investments 10,926 8,566 7,947 Marketable securities 1,699 2,348 3,228 Trade accounts receivable, less allowances of $516 and 3,512 3,144 3,971 $526, respectively Inventories 3,414 3,266 3,379 Prepaid expenses and other current assets 2,994 1,916 1,886 Total Current Assets 22,545 19,240 20,411 Equity method investments 17,598 19,273 19,025 Other investments 818 812 854 Other noncurrent assets 6,731 6,184 6,075 Deferred income tax assets 2,129 2,460 2,412 Property, plant and equipment - net 9,920 10,777 10,838 Trademarks with indefinite lives 14,465 10,395 9,266 Goodwill 19,363 17,506 16,764 Other intangible assets 785 649 736 Total Assets 94,354 87,296 86,381 CURRENT LIABILITIES Accounts payable and accrued expenses 14,619 11,145 11,312 Loans and notes payable 3,307 2,183 10,994 Current maturities of long-term debt 1,338 485 4,253 Accrued income taxes 686 788 414 Total Current Liabilities 19,950 14,601 26,973 Long-term debt 38,116 40,125 27,516 Other noncurrent liabilities 8,607 9,453 8,510 Deferred income tax liabilities 2,821 1,833 2,284 Total Liabilities 69,494 66,012 65,283 THE COCA-COLA COMPANY SHAREOWNERS' EQUITY Common stock, $0.25 par value; authorized - 1,760 1,760 1,760 11,200 shares; issued - 7,040 shares Capital surplus 18,116 17,601 17,154 Reinvested earnings 69,094 66,555 65,855 Accumulated other comprehensive income (loss) (14,330) (14,601) (13,544) Treasury stock, at cost - 2,715 and 2,738 shares, (51,641) (52,016) (52,244) respectively Equity Attributable to Shareowners of The Coca-Cola 22,999 19,299 18,981 Company Equity attributable to noncontrolling interests 1,861 1,985 2,117 Total Equity 24,860 21,284 21,098 Total Liabilities and Equity $ 94,354 $ 87,296 $ 86,381COCA-COLA 12 Months Ended CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions 2021 2020 2019 Net Operating Revenues $ 38,655 $ 33,014 $ 37,266 Cost of goods sold 15,357 13,433 14,619 Gross Profit 23,298 19,581 22,647 Selling, general and administrative expenses 12,144 9,731 12,103 Other operating charges 846 853 458 Operating Income 10,308 8,997 10,086 Interest income 276 370 563 Interest expense 1,597 1,437 946 Equity income (loss) - net 1,438 978 1,049 Other income (loss) - net 2,000 841 34 Income Before Income Taxes 12,425 9,749 10,786 Income taxes 2,621 1,981 1,801 Consolidated Net Income 9,804 7,768 8,985 Less: Net income (loss) attributable to noncontrolling interests 33 21 65 Net Income Attributable to Shareowners of The Coca-cola Company $ 9,771 $ 7,747 $ 8,920 Basic Net Income Per Share1 $ 2.26 $ 1.80 $ 2.09 Diluted Net Income Per Share1 $ 2.25 $ 1.79 $ 2.07 Average Shares Outstanding - Basic 4,315 4,295 4,276 Effect of dilutive securities 25 28 38 Average Shares Outstanding - Diluted 4,340 4,323 4,314