Question: Analysis of an Income Statement: Pepsico. Inc. (Easy) Pepsico, Inc. reported the following income state ment for 1999 (in millions of dollars):
a. Reformulate this statement to distinguish operating items from financing items and operating income from sales from other operating income. Identify operating income after tax. The firm's statutory tax rate is 36. l percent.
b. Calculate the effective tax rate on operating income from sales.