Question: b. Based on your answer to part a, critique the statement in the press release regarding the effect of the acquisition. e. Describe how the

b. Based on your answer to part

a, critique the statement in the press release regarding the effect of the acquisition.

e. Describe how the pro forma statements would differ of Pep- siCo were required to use the purchase method of accounting for the merger with Quaker Oats. Assume the value of Pep- siCo stock issued equals $13.5 billion.

d. Describe the effect of use of the purchase method on the re- turn ralios in part

a. e. Assume that the press release statement was correct based on use of the pooling method.

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