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Pepsico inc the parent company of frito-lay snack foods and

The bond indenture for the 10-year, 10% debenture bonds dated January 2, 2009, required working capital of $142,000 a current ratio of 1.7, and a quick ratio of 1.2 at the end of each calendar year until the bonds mature. At December 31, 2010, the three measures were computed as follows:

(a) List the errors in the determination of the three measures of current position analysis.

(b) Is the company satisfying the terms of the bondindenture?

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Accounting Basics: Pepsico inc the parent company of frito-lay snack foods and

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Accounting Basics: Pepsico inc the parent company of frito-lay snack foods and

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