Subject category:
Finance, Accounting and Control
Published by:
Darden Business Publishing
Version: 30 January 2019
Revision date: 11-Feb-2019
Length: 12 pages
Data source: Published sources
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https://casecent.re/p/291
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Abstract
A Wall Street Journal article states, 'At PepsiCo, Inc, cola was king, but it is quietly being dethroned.' PepsiCo is composed of three lines of business: soft drinks, restaurants, and snack foods. Using data from comparable pure-play companies, the student is asked to compute divisional costs of capital and see if they can be reconciled with the company's reported cost of capital, 11%.
About
Abstract
A Wall Street Journal article states, 'At PepsiCo, Inc, cola was king, but it is quietly being dethroned.' PepsiCo is composed of three lines of business: soft drinks, restaurants, and snack foods. Using data from comparable pure-play companies, the student is asked to compute divisional costs of capital and see if they can be reconciled with the company's reported cost of capital, 11%.