Visit the PepsiCo Web site at: www.pepsiusa.com/faqs.php/ Follow the link to How Pepsi is Made (under Product
Question:
www.pepsiusa.com/faqs.php/
Follow the link to “How Pepsi is Made” (under “Product Information”) for parts a., b., and c. Follow the links under “Community Information” for part d.
Instructions
a. Identify and discuss briefly the processes involved in manufacturing Pepsi.
b. What are Pepsi’s direct materials?
c. Of the company’s conversion costs, does labor or manufacturing overhead comprise the larger component of manufacturing costs? Defend your answer.
d. View the PepsiCo’s charitable, educational, and environmental initiatives. Would it be improper for PepsiCo to report these initiatives as product costs? Do you believe that it is ethical for PepsiCo to report only the positive impacts of its community-oriented efforts through-out the world? Defend your answer.
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Related Book For
Financial and Managerial Accounting the basis for business decisions
ISBN: 978-0078111044
16th edition
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello
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