PepsiCo, Inc.’s are presented in Appendix B. of The Coca-Cola Company are presented in Appendix C. Instructions for accessing and using the complete annual reports of PepsiCo and Coca-Cola, including the notes to the are also provided in Appendices B and C, respectively.
Instructions
a. Based on the information in these compute the following 2015 ratios for each company. (Assume all sales are credit sales and that PepsiCo’s receivables on its are all trade receivables.)
1. turnover.
2. Average collection period for receivables.
b. What conclusions about managing can you draw from these data?