Given the following information for PepsiCo, determine the company’ - 3786

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Given the following information for PepsiCo, determine the company’s weighted average cost of capital.

                                               Value      Cost of Capital

   Restaurant Division          $ 5 Billion            13%

   Snack Foods Division          7 Billion            12%

   Beverages Division            13 Billion              8%

          a.   10.12%

          b.   11.00%

          c.   12.10%

          d.   13.00%

 

 

Solution Description

Given the following information for PepsiCo, determine the company’s weighted average cost of capital.