PepsiCo, Inc. (PEP), the parent company of Frito-Lay¢ snack foods and Pepsi beverages, had the following current
Question:
a. Determine the
(1) Current ratio and
(2) Quick ratio for both years. Round to one decimal place.
b. What conclusions can you draw from these data?
Transcribed Image Text:
Year 2 (in millions) Year 1 (in millions) Cash and cash equivalents Short-term investments, at cost Accounts and notes receivable, net $9,096 2,913 6,437 5 6,134 2,592 6,651 3,143 2,143 5,076 13,016 1 Prepaid expenses and other current assets Short-term obligations (liabilities) Accounts pay 1,865 4,071 13,507 able and other current liabilities
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (4 reviews)
a 1 Current Ratio Current Assets Current Liabilities Year 2 23031 17578 13 Year 1 20663 18092 11 2 ...View the full answer
Answered By
Joseph Mwaura
I have been teaching college students in various subjects for 9 years now. Besides, I have been tutoring online with several tutoring companies from 2010 to date. The 9 years of experience as a tutor has enabled me to develop multiple tutoring skills and see thousands of students excel in their education and in life after school which gives me much pleasure. I have assisted students in essay writing and in doing academic research and this has helped me be well versed with the various writing styles such as APA, MLA, Chicago/ Turabian, Harvard. I am always ready to handle work at any hour and in any way as students specify. In my tutoring journey, excellence has always been my guiding standard.
4.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Accounting questions
-
PepsiCo, Inc., the parent company of Frito-Lay snack foods and Pepsi beverages, had the following current assets and current liabilities at the end of two recent years: (a) Determine the(1) Current...
-
PepsiCo, Inc., the parent company of Frito-LayTM snack foods and Pepsi beverages, had the following current assets and current liabilities at the end of two recent years: a. Determine the (1) current...
-
PepsiCo, Inc., the parent company of Frito-Lay snack foods and Pepsi beverages, had the following current assets and current liabilities at the end of two recent years: a. Determine the (1) current...
-
You want to short a 6-month forward contract on a stock. You contacted your bank and were offered a forward price of $39.85 [Note: This forward price is available only to customers who want to take a...
-
List three limitations of the SWOT Matrix and analysis.
-
For the following exercises, determine whether to use the Addition Principle or the Multiplication Principle. Then perform the calculations. How many outcomes are possible from tossing a pair of...
-
What do you mean by centroid and center of gravity? What is the basic difference between centroid and center of gravity?
-
Use Solver to create a Sensitivity Report for question 31 at the end of Chapter 3 and answer the following questions. a. Is the solution degenerate? b. Is the solution unique? c. How much should the...
-
ACTUAL $ 750,000 Big Boats, Inc. makes laury speed boats for water sking Actual results and the static budge Sales commissions are computed at 5% of gross sales The expected ROI for this subsidiary...
-
Sheilas Construction Sheila, born and raised in Alberta, is in the process of relocating to BC. She has been working as a contractor in the construction industry for the past five years but believes...
-
The following data were taken from the comparative balance sheet of Osborn Sisters Company for the years ended December 31, 20Y9 and December 31, 20Y8: a. Determine for each year (1) The working...
-
The bond indenture for the 10-year, 8% debenture bonds dated January 2, 20Y8, required working capital of $200,000, a current ratio of 2.0, and a quick ratio of 1.0 at the end of each calendar year...
-
Obtain information pertaining to the U.S. direct investment position abroad on a historical-cost basis from the Bureau of Economic Analysis.:...
-
In 1985 Josef Kleinfeld purchased a building in the East Village and opened a video rental store on the ground floor. Unfortunately, Kleinfeld lost a great deal of money during his first year. Things...
-
What are the two model acts that govern partnership law?
-
Which of the following items are sold by firms in monopolistic competition? Explain your selections. Corn Toothpastes Structural steel Chocolate Computer operating systems Services at...
-
What are the functions of directors, officers, and shareholders?
-
Review the pros and cons of managing marketing communications in-house rather than using the services of external agencies.
-
Financial information for American Eagle is presented in Appendix A at the end of the book. Required: 1. What does the Report of Independent Registered Public Accounting Firm indicate about American...
-
Refrigerant-134a enters an adiabatic compressor as saturated vapor at 120 kPa at a rate of 0.3 m3/min and exits at 1-MPa pressure. If the isentropic efficiency of the compressor is 80 percent,...
-
Describe how the following business transactions affect the three elements of the accounting equation. a. Invested cash in business. b. Received cash for services performed. c. Paid for utilities...
-
a. A vacant lot acquired for $150,000 is sold for $290,000 in cash. What is the effect of the sale on the total amount of the sellers (1) assets, (2) liabilities, and (3) owners equity? b. Assume...
-
Indicate whether each of the following types of transactions will either (a) increase owners equity or (b) decrease owners equity: 1. Expenses 2. Revenues 3. Owners investments 4. Owners withdrawals
-
In the Heckscher-Ohlin model, as trade occurs in a capital-abundant country, increased imports will force domestic import- competing firms to decrease prices and production. Labor and capital will...
-
Why has Gatorade been so successful in the sports drink market?
-
Mohali Foods has estimated that fixed costs per month are Rs . 1 1 4 , 8 4 0 and variable costs per unit of sales is 4 2 % . For the month the business anticipates sales of Rs . 3 0 0 , 0 0 0 . What...
Study smarter with the SolutionInn App