AB 116 WEEK 4 Current Liabilities Comparative Analysis Problem: PepsiCo, Inc. versus The Coca-Cola Company
This week- Discussion topic comes from BYP11-2, p. 561 of your textbook. PepsiCo, Inc. and Coca-Cola Company financial statements are in Appendix C. Use their financials to answer the following questions:
(a) At December 31, 2011, what was PepsiCo- largest current liability account? What were its total current liabilities? At December 31, 2011, what was Coca Cola- largest current liability account? What were its total current liabilities?
(b) Based on information contained in those financial statements, compute the following 2011 values for each company:
(1) Working Capital
(2) Current Ratio
(c) What conclusions concerning the relative liquidity of these companies can be drawn from these data?