Assignment

Identify the changes in accounting principles reported by Coca-Cola during the 3 years covered by its income statements (2009-2011).

1. Describe the nature of the change and the year of change.

2. Identify the changes in accounting principles reported by PepsiCo during the 3 years covered by its income statements (2009-2011). Describe the nature of the change and the year of change.

3. For each change in accounting principle by Coca-Cola and PepsiCo, identify, if possible, the cumulative effect of each change on prior years and the effect on operating results in the year of change.