Examine the liabilities on Coca-Cola's balance sheet. a. Based on the balance sheet, how much interest-bear ing
Question:
Examine the liabilities on Coca-Cola's balance sheet.
a. Based on the balance sheet, how much interest-bear ing debt does Coca-Cola have outstanding? (You can assume that other short-term liabilities represent sundry payables and that other long-term liabilities represent health care and pension obligations.)
b. Based on the balance sheet, how much did Coca Cola obtain in equity capital when it originally issued stock to the financial markets?
c. Is there any significance in the fact that retained earnings is much larger than the original paid-in capital?
d. The market value of Coca-Cola's equity is $140 bil lion. What is the book value of equity in Coca Cola? Why is there such a large difference between the market value of equity and the book value of equity?
Fundamentals of Financial Management
ISBN: 978-0324302691
11th edition
Authors: Eugene F. Brigham, ? Joel F. Houston