Evaluating Investment Decisions The information below was reported by PepsiCo, Inc. in its 2001 annual report.

(In millions)

2001

2000

1999

Net sales

$26,935

$25,479

$25,093

Net income

2,662

2,543

2,505

Cash flow from operating activities

4,201

3,330

3,605

Cash invested in other companies

432

98

430

Cash purchases of plant assets

1,324

1,352

1,341

Cash flow from financing activities

1,919

2,648

1,828

Cash dividends paid

994

949

935

Total assets

21,695

20,757

19,948

Required Identify and evaluate PepsiCo’s investment decisions over the three years shown. Include in your analysis an examination of changes in efficiency and effectiveness.