The Curious Accountant story at the beginning of this chapter referred to the Coca-Cola Company and discussed who its stakeholders are. This chapter has introduced the basic structure of the four financial statements used by companies to annually keep their stakeholders informed as to their accomplishments and financial situation. Complete the requirements below using the most recent (20xx) financial statements available on xx Coke’s website. Like many companies, Coke uses the Form 10-K that it files with the Securities and Exchange Commission (SEC) as its annual report. Obtain the statements on the Internet by following the steps below. (The formatting of the company’s website may have changed since these instructions were written.)
■ Go to www.thecoca-colacompany.com.
■ Click on the “Investors” link at the top of the page.
■ Click on the “Financial Information” link at the left side of the page.
■ Under the “Financial Information” heading, click on xx “Annual & Other Reports.”
■ Click on “20xx Annual Report on Form 10-K.”
■ Use the Table of Contents at the beginning of the Form 10-K to locate the company’s
“Financial Statements and Supplementary Data” section. Go to the company’s financial statements and complete the requirements below.
Required
a. What was the company’s net income in each of the last three years?
b. What amount of total assets did the company have at the end of the most recent year?
c. How much retained earnings did the company have at the end of the most recent year?
Note: Coke uses the name reinvested earnings rather than retained earnings.
d. For the most recent year, what was the company’s cash flow from operating activities, cash flow from investing activities, and cash flow from financing activities?