and Pepsi hal brar PepsiCo products exceed $66 billion. Compare the two companies as a potential investm by csimarket.com for the twelve months ended September 27, 2019: Ratio a. Gross profit percentage b. Net profit margin c. EPS d. Inventory turnover ratio e. Current ratio f. Debt-to-assets g. P/E ratio Coca-Cola 61.30% 22.70% a. Gross profit percentage b. Net profit margin C FPS $ 1.66 4.20 0.62 0.76 32.50 PepsiCo 55.00% 18.80% $ 8.82 8.30 0.95 0.82 15.50 Required: 1. For each ratio listed, indicate whether it would be used to compare profitability, liquidity (NA) to comparing companies.
and Pepsi hal brar PepsiCo products exceed $66 billion. Compare the two companies as a potential investm by csimarket.com for the twelve months ended September 27, 2019: Ratio a. Gross profit percentage b. Net profit margin c. EPS d. Inventory turnover ratio e. Current ratio f. Debt-to-assets g. P/E ratio Coca-Cola 61.30% 22.70% a. Gross profit percentage b. Net profit margin C FPS $ 1.66 4.20 0.62 0.76 32.50 PepsiCo 55.00% 18.80% $ 8.82 8.30 0.95 0.82 15.50 Required: 1. For each ratio listed, indicate whether it would be used to compare profitability, liquidity (NA) to comparing companies.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question

Transcribed Image Text:Coke and Pepsi are well-known international brands. Coca-Cola Co. sells more than $34.5 billion each year while annual sales of
PepsiCo products exceed $66 billion. Compare the two companies as a potential investment based on the following ratios as reported
by csimarket.com for the twelve months ended September 27, 2019:
Ratio
a. Gross profit percentage
b. Net profit margin
c. EPS
d. Inventory turnover ratio
e. Current ratio.
f. Debt-to-assets
g. P/E ratio
a. Gross profit percentage
b. Net profit margin
c. EPS
Coca-Cola
61.30%
22.70%
$ 1.66
4.20
0.62
0.76
32.50
d. Inventory turnover ratio
e. Current ratio
f. Debt-to-assets
g. P/E ratio
PepsiCo
55.00%
18.80%
$ 8.82
8.30
Required:
1. For each ratio listed, indicate whether it would be used to compare profitability, liquidity, or solvency, or whether it is not applicable
(NA) to comparing companies.
0.95
0.82
15.50
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