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
- 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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