Coca-Cola’s annual report

ANSWER 40 QUESTIONS INSIDE THE FILE ABOUT COCA COLA. SOME QUESTIONS DON’T NEED TO BE ANSWERED IN A SENTENCE.

You will be using Coca-Cola’s annual report for the year ended December 31, 2021.  Follow the instructions at the top of the assignment to find the company’s financial statements. Download the assignment, record your answers directly in the word document.  When you are finished, upload the assignment.  To allow for grading comments, please use the following file types: doc, docx, or pdf.

BCOR 3010

Fall 2022

Assignment 1

Find the Investors section of the Coca-Cola company website and use the Filings & Reports tab to download the company’s Annual Filing (on Form 10-K) for fiscal year end December 31, 2021, which was released on February 22, 2022. Briefly answer the following questions using the information contained in the indicated section of the 10-K. Unless otherwise noted, the questions relate to fiscal year 2021. Complete sentences are not required except where specifically noted.

1. General Company Information (use ITEM 1. BUSINESS)

1. In how many countries and territories are Coke products sold?
2. How many operating segments does the company have?
3. How many sparkling soft drink brands does Coke own or market?
4. How many unit cases of products did Coke sell?
5. Approximately how many employees did Coke have?

8. Financial Statement Information (use ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA)

Consolidated Statements of Income (page 60)

6. How much net operating revenue did Coke report for the year (in millions of dollars)?
7. How much did Coke’s revenue grow compared to the prior year (in millions of dollars and as a percentage)?
8. What is Coke’s gross profit margin (i.e., Gross Profit as a % of Net Operating Revenue)?
9. How much did Coke’s gross profit margin increase or decrease compared to the prior year?
10. What is Coke’s operating income (in millions of dollars)?

Consolidated Balance Sheets (page 62)

11. How much in cash and cash equivalents did Coke report (in millions of dollars)?
12. How much does Coke expect to collect in cash from customers for purchases made as of year end (in millions of dollars)?
13. How much is the amount owed by customers that Coke does not expect to collect (in millions of dollars)? Note: the allowances are reported in millions of dollars.
14. How much is the total amount owed by customers that Coke could eventually collect if customers do not default on their payments (in millions of dollars)?
15. Calculate the average trade receivables (net of allowances) for 2020 and 2021 (in millions of dollars)?
16. On average, how many days does it take for Coke to collect accounts receivable from customers? Estimate this using the days sales outstanding ratio (i.e., 365 ´ average trade accounts receivable ¸ revenues for 2021).
17. How much inventory does Coke have on hand as of fiscal year end (in millions of dollars)?
18. How much in property, plant, and equipment (net of accumulated depreciation) did Coke report on its balance sheet (in millions of dollars)?
19. How much in intangible assets did Coke report (in millions of dollars)? Note: intangible assets are split across three separate lines in the balance sheet.
20. How much money does Coke owe for accounts payable and accrued expenses (in millions of dollars)?
21. How much money does Coke owe for money it has borrowed (in millions of dollars)? Include both current and noncurrent amounts of loans, notes and debt.
22. How much does Coke owe to the government for income taxes (in millions of dollars)? Include both current and noncurrent amounts of income tax-related liabilities.
23. What is Coke’s current ratio (i.e., total current assets ¸ total current liabilities)?
24. How much money has Coke raised by issuing shares to investors (in millions of dollars)? Combine the common stock and capital surplus accounts to determine this amount.
25. How much retained earnings did Coke report (in millions of dollars)? Note: Coke refers to its retained earnings using a different name.

Consolidated Statement of Cash Flows (page 63)

26. What was the net change in Coke’s cash and cash equivalents during the year (in millions of dollars)?
27. How much did Coke pay in cash dividends during the year (in millions of dollars)?
28. What is Coke’s net cash from operating activities (in millions of dollars)?
29. What is Coke’s net cash from investing activities (in millions of dollars)?
30. What is Coke’s net cash from financing activities (in millions of dollars)?

7. Additional Analysis (use ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS)

31. How much of the percentage change in Coke’s consolidated net operating revenues was attributable to an increase in sales volume, as opposed to price or product mix changes, foreign currency fluctuations, or business acquisitions/divestitures?
32. Which of Coke’s seven operating segments reported the highest amount of net operating revenues?
33. What reason(s) does Coke provide for the change in gross profit margin?

1. Footnotes Analysis (use NOTES TO CONSOLIDATED FINANCIAL STATEMENTS)

34. What percentage of Coke’s inventory is finished goods that are ready to be sold (compared to, for example, raw materials it plans to use to produce inventory)? (Note 1)
35. Over what period of time does Coke depreciate its machinery and equipment? (Note 1)
36. Over what period of time does Coke depreciate its land? (Note 1)
37. How much depreciation expense did Coke recognize in the income statement (in millions of dollars)? (Note 1) Note: include the depreciation expense of assets under finance leases
38. What percentage of Coke’s fixed assets (i.e., property, plant and equipment) are machinery and equipment? Use the gross amounts (i.e., before accumulated depreciation) (Note 1)
39. When does Coke recognize revenue in the income statement? (Locate, copy and paste the sentence in Note 3 that discusses when control of products transfers to customers)
40. What is Coke’s effective tax rate? (Note 14)