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BYP2-2 PepsiCo’s financial statements are presented in Appendix A. Coca-Cola’s financial statements are presented in Appendix B. Comparative Analysis Problem: PepsiCo, Inc. vs. The Coca-Cola Company

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Comparative Analysis Problem: PepsiCo, Inc. vs. The Coca-Cola Company
BYP2-2 PepsiCo’s financial statements are presented in Appendix A. Coca-Cola’s financial statements are presented in Appendix B.

Instructions
(a) Based on the information contained in the financial statements, determine the normal balance
of the listed accounts for each company.

Pepsi
  • 1. Inventory
  • 2. Property, Plant, and Equipment
  • 3. Accounts Payable
  • 4. Interest Expense
Co Coca-Cola
  • 1. Accounts Receivable.
  • 2. Cash and Cash Equivalents
  • 3. Cost of Goods Sold
  • 4. Sales (revenue)

(b) Identify the other account ordinarily involved when:
  • (1) Accounts Receivable is increased.
  • (2) Wages Payable is decreased.
  • (3) Property, Plant, and Equipment is increased.
  • (4) Interest Expense is increased.

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