PepsiCo, Inc.'s financial statements are presented in Appendix B. Financial statements of The Coca-Cola Company are presented in Appendix C. The complete annual reports of PepsiCo and Coca-Cola, including the notes to the financial statements, are available at each company's respective website.

Instructions
a. Based on the information contained in the financial statements, determine the normal balance of the listed accounts for each company.

b. Identify the other account ordinarily involved when:
1. Accounts Receivable is increased.
2. Salaries and Wages Payable is decreased.
3. Property, Plant, and Equipment is increased.
4. Interest Expense is increased.

Transcribed Image Text:

PepsiCo 1. Inventory 2. Property, Plant, and Equipment 3. Accounts Payable 4. Interest Expense Coca-Cola 1. Accounts Receivable 2. Cash and Cash Equivalents 3. Cost of Goods Sold (expense) 4. Sales (revenue)