Compute both companies’ cash coverage ratio, current ratio and free cash flow.
Financial Analysis- CocaCola VS Pepsi Question
You will assume the role of a financial analyst and be creating a full analysisb Between Coca-Cola and PepsiCo. Please ensure that you fully explain all calculations and that you answer each and every question thoroughly.
Need to locate Coca-Cola and PepsiCo, Inc annual financial statements for 2015
Coca Cola Financial Statement 2015
PepsiCo Financial Statement 2015
1. Compute both companies’ cash coverage ratio, current ratio and free cash flow.
2. What ratios do each of these companies use in the Management’s Discussion and Analysis section of the annual report to explain their financial condition related to debt financing?
3. Compute and compare the inventory turnover ratios and days to sell inventory for Coca-Cola and PepsiCo for 2015. Indicate why there might be a significant difference between the two companies.
4. Compute
a. asset turnover
b. Profit margin on sales
c. rate of return onassets
d. debt to total assets ratio
e. times interest earned ratio.
Please fully explain what each ratio is telling you.
6 pages plus 1 bibliography.
From the Companies President letters Read and give some information what they talk about their companies.
Which companis does well.?
Used the numbers from companies 10K.
Make sure to use the 2015 income statement.Professor will check Coca Cola and Pepsi Companies internet site.
