FINANCIAL ANALYSIS

Financial Analysis for pepsi Co & Coca cola



Financial Analysis for Pepsi Co & Coca cola



Introduction

PepsiCo, Inc. and The Coca Cola have been around for much time exception. Both PepsiCo, Inc. and The Coca Cola Company names have become common house hold around the world today. PepsiCo, Inc. is one of the best in the world of consumer products with many brands of major trading partners and valuable. Division of PepsiCo, Inc. is the second largest soft drinks company in the world, with 21 percent of the beverage market worldwide soft and 29 percent in the United States. The overall mission of adding value to the investment of their shareholders. The company has done this through sales growth, cost control and prudent investment of resources. PepsiCo, Inc. believes that its commercial success depends on the quality of services provided to consumers and customers, products that are safe, wholesome, economically efficient and environmentally friendly, and offer value to investors, while maintaining high standards of integrity (www.fundinguniverse.com). Coca-Cola Company is a leading worldwide consumption of other goods, many countries of the world's most important and valuable brands. Coca-Cola Company is the largest producer of soft drink sales of 1.3 billion drinks are served every day (www.fundinguniverse.com). Coca-Cola Enterprises red and white logo is the most famous symbol of the world. These companies are mass-produced sparkling and flavored waters for some time and compete in the same market for years. PepsiCo Inc. and Coca-Cola Company is directed to all segments of the income of customers all over the world, because their products are dazzling, attractive and high quality product. Both companies produce products and services in parallel (www.coca-cola.com). It's a known fact that when a company goes beyond national boundaries, supply and production will be the main important thing. PepsiCo Inc. and Coca-Cola is owned production facilities around the world. Coca-Cola Company and PepsiCo, Inc. have their own strategies, but usually a mirror of society to the other ideas then go through the newest products and latest promotional strategies.

Statement of Purpose

The main objective of this paper is to explain the financial relationship between the Coca-Cola and PepsiCo, Inc. Other more I'll explain the vertical and horizontal analysis for the Coca-Cola and PepsiCo, Inc. The main concern of all is to show how the two financial companies are different.

Vertical Analysis

Consolidated Income Statement

The cost of the products of PepsiCo Inc. was $ 11,031 and $ 12,314 in 2004 and 2005. The cost of sales in 2004 was 38% of turnover in 2005 was 37.82% of net sales. Cost of sales decreased in 2005. The cost of the products of the Coca Cola was $ 7,674 and $ 8,195 in 2004 and 2005. It was 35% and 35.47% of net sales in 2004 and 2005. The cost of sales increased for the Coca Cola and PepsiCo decline, Inc. Operating expenses by PepsiCo, Inc. was 43% and 43.54% of net sales in 2004 and 2005. Coca-Cola's operating expenses were 36% and ...