Using Coca- Colas 10-K for 2015 at http://phx.corporate-ir.net/phoenix.zhtml?c=9
ID: 2477961 • Letter: U
Question
Using Coca- Colas 10-K for 2015 at http://phx.corporate-ir.net/phoenix.zhtml?c=94566&p=irol-SECText&TEXT=aHR0cDovL2FwaS50ZW5rd2l6YXJkLmNvbS9maWxpbmcueG1sP2lwYWdlPTEwMTAwNTEzJkRTRVE9MCZTRVE9MCZTUURFU0M9U0VDVElPTl9FTlRJUkUmc3Vic2lkPTU3 answer the following questions.
How many pages are in the 10-K?
Who is the auditor for Coke?
In Item 1A Coke discusses its risk factors. Choose two factors that you find most interesting. Discuss each of the two factors you found most interesting (in two to three complete sentences for each factor).
In 2015, if you bought a Coke for $1, how much of that $1 covers the cost of the beverage itself?
In 2015, if you bought a Coke for $1, how much of that $1 covers the cost of the selling, general and administrative expenses?
In 2015, if you bought a Coke for $1, how much of that $1 covers the cost of the advertising? Hint: check the footnotes.
Based on the income statement, what is your best estimate of the average tax rate paid by Coke during 2015?
What percent of Coke’s total assets is funded by debt?
What percent of Coke’s total assets is goodwill? In a few sentences describe what the goodwill represents.
What is the primary difference in how Coke managed its cash during 2014 and 2015?
During 2015, how much of Coke’s net operating revenue come from sales in the United States?
Explanation / Answer
Our success depends in part on our ability to grow our business in emerging and developing markets, which in turn depends on economic and political conditions in those markets and on our ability to acquire bottling operations in those markets or to form strategic business alliances with local bottlers and to make necessary infrastructure enhancements to production facilities, distribution networks, sales equipment and technology.
. Increasing public concern about obesity; possible new or increased taxes on sugar-sweetened beverages by government entities to reduce consumption or to raise revenue; additional governmental regulations concerning the marketing, labeling, packaging or sale of our sugar-sweetened beverages; and negative publicity resulting from actual or threatened legal actions against us.
Business goodwill is a key intangible asset that represents the portion of the business value that cannot be attributed to other business assets. Put differently, business goodwill reflects the synergy among the various assets used by the business to produce income in a well-run business the whole is greater than the sum of the parts.