Using these 2007 annual reports for (Coca Cola Co) http://csuglobal.blackboard.com/bbcswebdav/courses/KEY_ACT350/courseFiles_fall2013a/coca-cola_company_2007_annual_report.pdf and (Pepsi Co.) http://csuglobal.blackboard.com/bbcswebdav/courses/KEY_ACT350/courseFiles_fall2013a/pepsico_2007_annual_report.pdf , answer the following questions. Write these up in a Word document, clearly identifying your response to each lettered item. Show supporting calculations for the items lettered c, f, h, l, m, o, p, r, s and u.

1. What are the primary lines of business of these two companies as shown in their notes to the financial statements?

2. Which company has the dominant position in beverage sales?

3. Which company has the greater percentage increase in total assets from 2006 to 2007?

4. Which company had more depreciation and amortization expense for 2007? Provide a rationale as to why there is a difference in these amounts between the two companies.

5. What type of income format(s) is used by these two companies? Identify any differences in income statement format between these two companies.

6. What are the gross profits, operating profits, and net incomes for these two companies over the three-year period 2005-2007? Which company has had better financial results over this period of time?

7. What format(s) did these companies use to present their balance sheets?

8. How much working capital did each of these companies have at the end of 2007? Speculate as to their rationale for the amount of working capital they maintain.

9. What is the most significant difference in the asset structure of the two companies? What causes this difference?

10. What were the two companies