Equity Method Investments

Prior to beginning work on this discussion forum, read Chapters 1 and 2 of the text and review the most current 10K filing at Coca-Cola Company’s All SEC Filings (Links to an external site.) webpage.

Write: Make sure your response addressing the following questions is more than 200 words, and that you include a brief paraphrase or direct quote from the reading material where appropriate. Include proper in-text citations for each paraphrase or direct quote, as shown in the UAGC Writing Center’s Citing Within Your Paper (Links to an external site.) guide.

Discussion Questions

Access the most current 10K Coca-Cola Company’s SEC 10K filing at All SEC Filings (Links to an external site.) webpage, and address the following questions:

  • What companies do Coca-Cola describe as significant equity method investments? How do these investments help Coca-Cola?
  • What criteria does Coca-Cola use in choosing to apply the equity method for these investments?
  • How does Coca-Cola describe its application of the equity method?
  • What amount of equity income did Coca-Cola report?

Coca-Cola discloses the fair values of its publicly traded bottlers accounted for as equity method investments. List the book values and fair values for these equity method investments that have publicly traded securities. Discuss the relevance of each of these two values.