PepsiCo, Inc., the parent company of Frito-LayTM snack foods and Pepsi beverages, had the following current assets
Question:
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 ratio and (2) quick ratio for both years. Round to one decimal place.b. What conclusions can you draw from thesedata?
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 Inventories Prepaid expenses and other current assets Short-term obligations Accounts payable and other current liabilities Income taxes payable $1,651 1,171 3,725 1,926 657 274 $1,716 3,166 3,261 1,693 618 2,889 5,971 546 6,496 90
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 64% (14 reviews)
a b The liquidity of PepsiCo has increased some over this time period Both the current and qui...View the full answer
Answered By
Sandhya Sharma
I hold M.Sc and M.Phil degrees in mathematics from CCS University, India and also have a MS degree in information management from Asian institute of technology, Bangkok, Thailand. I have worked at a international school in Bangkok as a IT teacher. Presently, I am working from home as a online Math/Statistics tutor. I have more than 10 years of online tutoring experience. My students have always excelled in their studies.
4.90+
119+ Reviews
214+ Question Solved
Related Book For
Question Posted:
Students also viewed these Managerial Accounting questions
-
The Pittsburgh Steelers defeated the Arizona Cardinals 27 to 23 in professional footballs 43rd Super Bowl. With this win, its sixth championship, the Pittsburgh Steelers became the team with the most...
-
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-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...
-
Identify possible opportunities for denormalizing these relations as part of the physical design of the database. Which ones would you be most likely to implement
-
What factors determine the intensity of the threat of new entrants?
-
In Problem find f(x) and simplify. f(x) = (x 4 + 1) -2
-
You are the global sales manager for Samsung responsible for sales of their tablet computers. The company has just announced a new model that will be available in five countries starting next month...
-
Shanes Roasted Peanuts, Inc., supplies snack foods. The business experienced the following events. a. Shanes Roasted Peanuts received cash from the sole stockholder and issued common stock. b. Cash...
-
Assume the carrying capacity of the earth is 9 billion. Use the 1960s peak annual growth rate of 2.1% and population of 3 billion to predict the base growth rate and current growth rate with a...
-
Russian is an Indo-European language of the Slavic family, spoken in Russia. Determine from the following Russian data whether the low front [a] and the low back [a] complement each other as...
-
The following data were taken from the balance sheet of Bock SuppliersCompany: a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one...
-
The bond indenture for the 10-year, 10% debenture bonds dated January 2, 2009, required working capital of $142,000, a current ratio of 1.7, and a quick ratio of 1.2 at the end of each calendar year...
-
Using the facts in the previous problem, if Chuck earns an additional $40,000 of taxable income, what is his marginal tax rate on this income? What is his marginal rate if, instead, he had $40,000 of...
-
Exhibit 6.9 provides details of how the engineers who designed the new subnotebook computer felt that the new line should be organized. These engineers designed the line assuming that ne notebook...
-
A factory comprises three production cost centres and two service cost centres. The factory overhead budget for the year commencing 1 January 2019 is detailed below: Indirect Materials (RM'000)...
-
The income statement from 2013 to 2017 of Kung Food Equipment, Inc., a restaurant equipment supplier, appears below. Revenue Cost of Revenue, Total Gross Profit Selling/General/Admin. Exp. Research &...
-
Write the formulas that calculate the total production time used for casting, machin- ing, and final assembly. Enter a mathematical formula in the objective cell, and then enter formulas to link the...
-
Following are transactions of Danica Company. December 13 Accepted a $18,000, 45-day, 8% note in granting Miranda Lee a time extension on her past- due account receivable. December 31 Prepared an...
-
Ms. Spielvogel was paid $400 a week in 1987, the base year. By 1995 she was earning $900 a week. If the consumer price index was at 180 in 1995, how much were Ms. Spielvogels real wages that year,...
-
Rewrite Programming Exercise 7.5 using streams. Display the numbers in increasing order. Data from Programming Exercise 7.5 Write a program that reads in 10 numbers and displays the number of...
-
If 5.00 g of gray iron powder reacts with 2.77 g of red phosphorus powder, what is the mass of the iron phosphide product?
-
The controller of the plant of Martz Industries prepared a graph of the unit costs from the job cost reports for Product M908t. The graph appeared as follows: How would you interpret this...
-
Warm Space Inc. manufactures electric space heaters. While the CEO, Gwen Willis, is visiting the production facility, the following conversation takes place with the plant manager, Tyra Chastain:...
-
The rates of return on investment for Shear Co.s three divisions, North, South, and Midwest are 38%, 30%, and 22%, respectively. In expanding operations, which of Shear Co.s divisions should be given...
-
What percentage of the American opportunity tax credit may be refundable?
-
You want to buy a house. You have $50,000 saved for the down payment and can pay $2,000 per month on the mortgage. The 30-year mortgage interest rate is 9% per year (equal to 0.75% per month). What...
-
Compute the Social Security and Medicare for Paul, Alex, and Andrea. The rates are 6 . 2 % for Social Security and 1 . 4 5 % for Medicare. Assume the Social Security limit is $ 1 4 2 , 8 0 0 and the...
Study smarter with the SolutionInn App