XACC/280 Financial Analysis: Pepsico

XACC/280 Final | Financial Analysis | Instructor: Zeno Gavales |

Gracie Sandoval
2/24/2013
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To any company whether small or a large corporation, the financial analysis is very important in order for a successful business. This will determine if the company is healthy enough to invest or even to see where you are weak in the financial part of the business. It is the company’s responsibility to present accurate analysis of their financial reports. What I hope to present to you is information that you will help see the comparison of both companies within their financial standings. In this report I will present a vertical analysis and a horizontal analysis, and ratio analysis. I will also try to provide some strategies
Coca-cola total current assets were 39% and 34.83% in 2004 and 2005. Liquidity of PepsiCo decreased in 2005 and The Coca-cola increased in 2005. The assets of Coca-cola were 62% and 65.17% in 2004 and 2005. The current liabilities of PepsiCo were $6,753.00 and $9,406.00 in 2004 and 2005. The total assets were 24% and 29.65%. The total assets for Coca-cola were 35% and 33.43%. The liabilities of PepsiCo increased while the current debt of Coca-cola decreased. For both companies the total liabilities in 2005 were 55.08% and the total assets were 44.02%. The equity of PepsiCo was 48% of assets in 2004 and assets was 44.92% in 2005. In 2005 PepsiCo shareholder reduces the inventory. In 2005 the shares were 55.59% of assets for Coca-cola but in 2004 it showed shares there were only 51%. The shares for Coca-cola have been more than
Revenue growth for Coca-cola is less than PepsiCo; the proceeds from the Coca-cola in 2005 and 2004 were $23104.00 and $21,742.00. In 2005 and 2004 turnover was lower than PepsiCo. Cost of goods sold by PepsiCo was $11,031.00 and $12,314.00 in 2004 and 2005. Cost of sales increased it was 111.63% compared to 2004. Cost of sales of Coca-cola was $7674.00 and $8195.00 and that was an increase in 2005 compared to 2004. PepsiCo earnings total operation was 112.61% compared to previous years. The total operating revenue for Coca-cola was 105.79% in comparison to other years. The net income for PepsiCo was $4,078.00 and $4,212.00 in 2005 and 2004. The net results for Coca-cola were $4,847.00 and $4,872.00 in 2005 and 2004. PepsiCo operating profit was $5,259.00 and $5,922.00 in 2004 and 2005. PepsiCo operating expenses were 111.85% and 11.85% in 2005 than 2004. Coca-cola operating expenses were 110.75% and 10.75% than 2004. In this comparison it looked that Coca-cola had the upper