PepsiCo and coca cola Comparative Analyzes Case Tameem Al-dawas 200800091 Ghassan Al-Abbad 200800912 AbdulRahman Bubshait 200600032

Outline Introduction Total asset analyze Net income and sale analyze Depreciation and amortization analyze Conclusion

PepsiCo Inc. The Coca-Cola Company Introduction PepsiCo Inc. The Coca-Cola Company Are an American global corporations that with interests in the manufacturing, marketing and distribution of snack foods and other products.

The percentage in Total assets 2009-2010

The total assets percentage method The solution ((Past year- this year)/past year)100

Pepsi-cola 2009-2010 Total assets 2009 = 39,8484,000 Total assets 2010 = 68,153,000 (39,8484,000- 68,153,000)/39,8484,000=0.82 .82*100=82%

Coca-cola 2009-2010 Total assets 2009 = 48,671,000 Total assets 2010 = 72,921,000 (48,671,000 - 72,921,000)/48,671,000 =.50 .50*100=50%

Pepsi-cola got higher percentage Than coca-cola The higher percentage Pepsi-cola got higher percentage Than coca-cola

Net income and sales analyze Determine the 5 year compound growth rates for net income and sales PepsiCo   2001 Summary of Operations Net sales $26,935 Net income $ 2,662 2005 Summary operations Net sales $ 32,562 Net income $ 4,536

Net income and sales analyze The calculation 5 year compound growth rate = ( 2005 result / 2001 result )^1/4 – 1 PepsiCo Compound growth rate Net sales = (32,562 / 26,935) ^1/4 – 1= 4.9 % Net income = (4,536/2,662) ^1/4 – 1 = 14.3 %

Net income and sales analyze Coca cola   2001 Summary operations Net Sales $ 23,104 Net income $ 4,872 2005 Net sales $ 30,990 Net income $ 6,824

Net income and sales analyze Coca Cola compound growth rate Net sales = (30,990/23,104) ^ 1/4 – 1 = 7.6 % Net income = (6,824 / 4,872) ^ 1/4 – 1 = 8.8 %

Net income and sales analyze Pepsi -cola Coca -cola Net income 2001 – 2005 = 14.3 % Net income 2001 – 2005 = 8.8 % Net sales 2001 – 2005 = 4.9 % Net sales 2001 – 2005 = 7.6 %

Depreciation and amortization analyze From the previous balance sheets ,income statements : the revenue of Pepsi is high Accumulated Amortization In Pepsi is high however in cocoa- cola is not

Depreciation and amortization analyze The Rational why there is differences in these two amounts : None cash methods ( transactions methods) Different strategy dealing with customer

Conclusion We explained: Total asset analyze methods The Net income and the sale analyze The Depreciation and the amortization analyze

References finance.yahoo.com/q/is?s=PEP+Income+Statement&annual http://www.ehow.com/how_5626335_reduce-depreciation-amortization-expense.html Wikipedia.com Fundamentals of intermediate accounting book ( Ratio Tables Page 248 )

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