the caffeine in coca cola comes from kola nuts.
where does the caffeine in coca cola come from?
kola nuts
kola nuts act as a flavoring and the source of caffeine in coca-cola. in britain, for example, the ingredient label states "flavourings (including caffeine)." kola nuts contain about 2.0 to 3.5% caffeine, are of bitter flavor, and are commonly used in cola soft drinks. in 1911, the u.s. government initiated "united states v. forty barrels and twenty kegs of coca-cola", hoping to force coca-cola to remove caffeine from its formula. the case was decided in favor of coca-cola. subsequently, in 1912, the u.s. pure food and drug act was amended, adding caffeine to the list of "habit-forming" and "deleterious" substances which must be listed on a product's label.
coca-cola
pepsi (pep) and coca cola (ko) are different companies that create a similar product, soda pop. historically, the two companies have shared similar dips and highs, depending on the soda pop market. if the price of coca cola were to go up a significant amount while pepsi stayed the same, a pairs trader would buy pepsi stock and sell coca cola stock, assuming that the two companies would later return to their historical balance point. if the price of pepsi rose to close that gap in price, the trader would make money on the pepsi stock, while if the price of coca cola fell, he would make money on having shorted the coca cola stock.
pairs trade