Coca Cola Analysis (Accounting)

One department at Coca Cola is the financial department. The financial department uses on screen communication, this allows them to create data on the company’s financial assets. They use on screen communication to present databases, charts and a budgeting table for the company. A strategic decision that this department has made is to buy the remaining shares in Innocent drinks company. “The London company’s sales have grown 89% a year from £16.7m in 2004

The total assets were 24% and 29.65%. The current liabilities for The Coca Cola Company were $11,133 and $9.836 in 2004 and 2005. The total assets were 35% and 33.43%. The current liabilities for PepsiCo, Inc increased while the current liabilities for The Coca Cola Company decreased in 2005. The total liabilities for both companies in 2005 were 55.08% and 44.42% of total assets in 2005... The equity for PepsiCo, Inc. was 48% assets in 2004 and 44.92% assets in 2005. In 2005 PepsiCo, Inc. share holder’s holdings reduced. The equity shares were 55.58% of assets in 2005 for The Coca Cola Company while in 2004, there were only 51% equity shares. The Coca Cola Companies equity shares were more in relative value as compared to PepsiCo.

The Coca-Cola Company is the largest manufacturer and marketer of nonalcoholic beverage in the world. The company produces finished product in cans and bottles. The bottlers then sell, distribute and merchandise the resulting Coca-Cola product to retail stores, vending machines, restaurants and food service distributors. Coca-Cola is the most popular and biggest-selling soft drink in history as well as the best-known product in the world. The Coca-Cola Company offers nearly 400 brands in over 200 countries. Throughout this

An eyeball assessment of the changes in Coke’s financial statements between 1996 and 2010 show that mainly all accounts are up. The total assets are up from 1996 to 2010 with an increase from $16,161 to $72,921. Also current assets increased 3.6% from 1996 to 2010 with total non-current assets increasing 5%. Revenue nearly doubled from 1996 having only $18,546 to increasing in 2010 to $35,119. The total current liabilities increased over the years from $7,406 to $18,508. The total long term liabilities also show an increase from 1996 having $2,599 to $23,410 in 2010. Also the

Coca-Cola shows impressive performance in profitable growth. Coca-Cola’s current gross profit margin is very high, which is good because this indicates that the company has done an exceptional job in cutting costs. Coca-Cola is making considerable effort in making use of costs of goods sold. The management team at Coca-Cola is effectively using raw materials, labor, and manufacturing supplies. According to Muhtar Kent, it

As mention before, Coca-cola has 47.3 percent market share in the country’s cola market versus Pepsi which hold 44.5 percent. Coca-cola is also the brand known around the worlds, which are the largest producer and distributor of ark colas in the world. Even in the current monetary crisis, the company continues to expand and the financial position shows that Coca-cola has a strong cash position in compare to PepsiCo which the long term debt of PepsiCo is so high.

The Coca Cola industry is a vibrant model that started in 1886 by John Styth Pemberton who was a pharmacist in Atlanta, which is the capital; headquarter for the Coca Cola Company. It is the world’s primary manufacturer of non-alcoholic beverage and operates on a global scale across over 200 countries worldwide with over 500 brands. The company is widely recognized by 94% of the world’s population (coca cola Company.com). Coca Cola is largely successful, has become the iconic beverage of the American culture, is ranked number three in the world, and is regard as “happiness in a bottle worldwide (bestglobalbrand.com) The company post revenue of 5.37 billion dollars with a 2% rise in the North American market (NBC.com). This report will therefore examine many different aspect of the Coca Cola company which as allow them to become the beverage and brand of choice worldwide.

In its 2015 second quarter, Coca-Cola improved overall profitability, but profitability and growth from its non-U.S. operations have been unfavorably impacted by volatile exchange rate fluctuations. Foreign currency exchange rate fluctuations caused an 11-point headwind in the company’s

Base from the data report above, it’s clearly show that Coca Cola Company has manage to stabilize it self from 2011 to 2015. Within the last five years the net operation revenue for Coca Cola is within the $44,000-48,000 millions dollars range mark and that attribute to it share holder are between $7,000-9,000 millions dollars range mark. This clearly show that the company is financially stable and well operate.

In all of Coca-Cola’s plants, inventories are made up of supplies, concentrates, raw materials and syrups. These are valued at a lower

The common-size income statement shows that Coca-Cola’s cost of goods sold to revenues percentage rose very slightly from 39.14% in 2011 to 39.32% in 2013. At the same time, PepsiCo’s cost of goods sold to revenues percentage decreased from 47.51% in 2011 to 47.04% in 2013, bringing the 3-year-average to 47.44%. However, 47.44% is still much higher than Coca-Cola’s 3-year-average of 39.38%. With lower cost of goods sold to revenues ratio, Coca-Cola was able to obtain higher gross profit margin, which proves the advantages Coca-Cola have in pricing power over PepsiCo and other competitors. This makes sense because as stated in the overview, Coca-Cola is one of the most recognizable brand in the world

As of December, 31, 2013, $ 14,967 amount is recorded in the balance sheet as property, plant, and equipment net for Coca-Cola, and 83 percent of total assets does each company invest in property, plant, and equipment. On the other hand, $ 18,575 amount is recorded in the balance sheet for PepsiCo, and 76 percent of total assets invest in property, plant, and equipment, which is lower than Coca-Cola.

The report presented below is the financial analysis of Coca Cola and Pepsi Inc. In the beginning a brief overview of both the companies is given ,followed by a detailed view of each of the company’s financial health , comprising of the horizontal and vertical analysis of the balance sheet and income statement and finally key ratios are calculated to observe the trends and make recommendations. The financial data is taken from MSN Money Central website referenced below.

EXECUTIVE SUMMARY In investigating PepsiCo’s accounting policies for G. D. Meyers and Company, we have focused on nine major areas of the annual report, comparing PepsiCo with Coca Cola throughout our analysis. Through the Balance Sheet, we focused on the major assets and major liabilities of each, and discovered that the primary difference is PepsiCo’s large balance of intangibles. In the Income Statement, we analyzed the major sources of revenue and expenses for

-one brand. PepsiCo and Coca-Cola did so bytargeting various income levels around the world with visually-attractive, likeable products thatare affordably priced. The following synapsis reviews financial statements and balance sheets of both PepsiCo and Coco-Cola to provide accurate recommendations for improving the financialstatus of each. A brief discussion of the companies is followed by vertical and horizontalanalysis of their annual reports ending in recommendation.DiscussionIn the financial market Pepsi and Coke remain top competitors of one another, evenamong an extended list of other brands. A major concern for both of these companies is theirability to market, produce, and distribute across national boundaries of a single nation. Thisconcern has diminished over time as PepsiCo and Coca-Cola pushed