XACC 280 Week 9 Capstone DQ

Question:
Review the annual reports for PepsiCo., Inc and the Coca-Cola Company in the Appendixes A & B of Financial Accounting. Select either PepsiCo, Inc or Coca-Cola Company. In your estimation, the company you chose may be financially healthier or weaker.
Would you invest in this company? Explain why or why not. Justify your reasoning by presenting at least three key financial ratios that analyze profitability, the liquidity, or the solvency of the company.
Response 1
In reviewing PepsiCo and Coca-Cola Company, the more stable organization to invest would be Coca-Cola. I reviewed the data to determine the organizations profitability in order to help come up with the best sound decision. In reviewing PepsiCo profit margin within the 2004-2005 period along with the asset turnover in 2005 it did not make good financial decision for investment.
Powered by