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Concept explainers
PepsiCo’s financial statements are presented at www.pepsico.com. Financial statements of The Coca-Cola Company are presented at www.coca-cola.com
Instructions
(a) Based on the information contained in these financial statements, determine each of the following for each company.
(1) The percentage increase (decrease) in (i) net sales and (ii) net income from 2012 to 2013.
(2) The percentage increase in (i) total assets and (ii) total common stockholders’ (shareholders’) equity from 2012 to 2013.
(3) The basic earnings per share and price-earnings ratio for 2013. (For both PepsiCo and Coca-Cola, use the basic earnings per share.) Coca-Cola’s common stock had a market price of $41.31 at the end of fiscal-year 2013, and PepsiCo’s common stock had a market price of $82.71.
(b) What conclusions concerning the two companies can be drawn from these data?
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Chapter 14 Solutions
Managerial Accounting: Tools for Business Decision Making
- How much of every retail sales dollar is made up of merchandise cost on these general accounting question?arrow_forwardThe company where Daniel works produces skateboards locally but sells them globally for $60 each. Daniel is one of the production managers in a meeting to discuss preliminary results from the year just ended. Here is the information they had in front of them: Standard Quantity per Unit Standard Price Wood 2.50 feet $4.00 per foot Wheels 5.00 wheels $0.50 per wheel Direct labor 0.30 hours $14.00 per hour Actual results: . • Quantity of wood purchased, 225,000 feet; quantity of wood used, 220,000 feet. Quantity of wheels purchased, 418,800 wheels; quantity of wheels used, 400,800 wheels. Actual cost of the wood, $4.20 per foot. Actual cost of the wheels, $0.55 per wheel. • Quantity of DL hours used, 26,400 hours; actual cost of DL hours, $15.20 per hour. Actual units produced, 80,000 skateboards. (a) Complete a variance analysis for DM (both wood and wheels) and DL, determining the price and efficiency variances for each; be sure to specify the amount and sign of each variance. DM- Wood…arrow_forwardNeed help with this financial accounting questionarrow_forward
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