ACCT 412 gdb2 reply1

ACCT 412 gdb2 reply1 - able to minimize the asset base by...

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11th Sept. 2011 Module 3, Group A, GDB 2 Reply RE: 1) It is under the note 2 of the Consolidated Financial Statements; they use the investment account and make adjustments using the equity method. When income or loss is recognized, it will be adjusted. The asset or liability is not reported on the balance sheet. Everything is conducted under the account of investor. 2) Coca-Cola uses the accounting method. The matter of significant influence is for the owners that own anywhere between twenty to fifty percent of the company. The investor can have influence over operating and financial policy because of this clause. 3) The Coca-Cola has the majority stockholder of CCE. Coca-Cola owns about thirty-six percent of common stock of CCE. CCE has 3 directors that preside as executive officers at Coca-Cola. CCE has agreements so that it can handle business through Coca-Cola. 4) Company-2008: .98, 2007: .99 Enterprises-2008: -503.87, 2007: 3.24 5) Coca-Cola uses the equity method to keep debt, and low-margin off the books. It also is
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Unformatted text preview: able to minimize the asset base by improving returns on assets. References: Coca-Cola Enterprise, Inc. (n.d.). Retrieved 11 th Sept. 2011. from Coca-Cola Enterprise, Inc.: and http://www.cokecce.com/pages/_content.asp?page_id=81 and http://ir.cokecce.com/phoenix.zhtml?c=117435&p=irol-newsArticle&ID=1556032&highlight=#Class= Hoyle, B., Schaefer, T., & Doupnik, T. (2011). Advanced Accounting 10th Edition. New York: McGraw-Hill Irwin. McCaffery, R. (2000, 11 21). Coke's Bottleing Woes. Retrieved 11 th Sept. 2011, from The Motley Fools: http://www.public.asu.edu/~bac524/accounting_at_coke_and_cokes_bottling_woes.pdf The Coca-Cola Company. (n.d.). Retrieved 11 th Sept. 2011, from The Coca-Cola Company: and http://www.thecoca-colacompany.com/investors/pdfs/10-K_2009/12_Coca-Cola_Item8.pdf and http://www.thecoca-colacompany.com/investors/pdfs/form_10K_2010.pdf ....
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This note was uploaded on 10/19/2011 for the course ACCT 412 taught by Professor D during the Fall '11 term at Lee.

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