Capital One Financial Corporation: Financial Overview

Comprehensive Annual Financial Report (CAFR) is a report used by cities, and local governments to provide the public with their financial records each year, while adhering to government accounting standards board (GASB) guidelines. The report presents a comprehensive picture of the reporting entity’s financial condition, it provides how funds are spent and allocated throughout the year.

The banking industry has undergone major upheaval in recent years, largely due to the lingering recessionary environment and increased regulatory environment. Many banks have failed in the face of such tough environmental conditions. These conditions

Capital One was founded on the vision Richard Fairbank and Nigel Morris had regarding the potential profitability that could be made from customizing credit card products based. “Capital One now is one of the largest issuers of master card and visa credits in the world.” Recently, due to a new marketing campaign, Capital One predicts an increase in demand for fund loan approval. Based on the current levels of capacity, the loan department will not be able to accomplish their targeted goal of 700 applications per month. Our proposed plan is aimed at accomplishing a higher level of utilization and capacity through modifications on the current loan approval process. Since

Telus appeared in the late 1990’s by the merger of Alberta-based Telus and BC Telecom in an environment of significant changes for the incumbent carriers who had previously enjoyed a monopolized service offering. Soon after its creation Telus found itself in the early 2000 to be facing major hurdles of maintaining its financing plans. The early 2000 offered an environment of increased competition for telecom companies, saw the crash of the dot-com bubble and offered a weaker business climate as a result of the 9/11 tragedy. Within this environment, the ratings by credit rating companies had a profound influence on how telecom companies would continue to do business.

Costco Wholesale Corporation is the U.S. public corporation that I chose to do my Accounting 2 project on.

Central 1 has offices in Vancouver, Toronto and Mississauga, providing services to member credit unions in British Columbia and Ontario. Central 1 provides liquidity management, payments, Internet and trade association services to 144 member credit unions in B.C. and Ontario, having a combined membership of 3.1 million, while also serving corporate customers with financial and transaction services.

Capital One is a banking company that is focused on credit cards and consumer loans. The company also has some minor international operations in Canada and the UK, primarily in the credit card business. The company breaks down its business as follows. Credit cards are the major source of income, accounting for $10.4 billion in revenue, or 64% of the total revenue for the company. Consumer banking accounts for 31% of the revenue, commercial banking a further 10% of the revenue, and the company has negative revenue on "other" businesses. The credit card business is the most profitable, generating $2.277 billion in profit, or 70% of the company's total net income. Consumer banking accounted for 25% of total net income, while commercial banking accounted for 16% of total net income.

The total debt to total capital ratio is total debt divided by total debt plus equity. The total debt to total capital ratio measures the percentage of the firm’s capital provided by debtholders. Overall, between 2006 and 2016 Costco has the lowest average total debt to total capital ratio in comparison to its competitors. According to an article called “Wholesale and Distribution Industry Key Performance Indicators (KPIs)” written by Paul Melville, the wholesale retail industry average for the total debt to total capital ratio is 20.6%. In 2015 Costco had a total debt to total capital ratio of 40.3% which was well above the industry average. However, Target had a ratio of 51.2% which is 10.9% higher than Costco. Creditors prefer low total

As of January 20, 2017 the current market quote for Comcast Corp is at 73.57 per the NASDAQ exchange. Over the past 10 years the market for Comcast Corp grew significantly. The 31st of January in 2007 the stock market value was at a low 29.57. So, what trends and or events made the stock market activity change so significantly in the last 10 years? Analysts that are researching this and keeping track of the stock market activity are stating as of January 10th of 2017 the shareholder returns and stock trends were trading at $70.92. Comcast’s stock was trading at 6.4% above its normal 20-day and 50-day moving averages of around $65. Comcast has been maintaining a steady dividend payout ratio of 30.0%-35.0%. Since 1963, Comcast has developed,

This report will be based on the Target Corporation, and will consist of two sections: 1) long-term financing policy and capital structure, and 2) an acquisition analysis. The first section will include: Target's most recent long-term financing decision; an analysis of the economic, business, and competitive background in which the financing occurred; Target's book value and market value; possible changes that would occur to Target's finance policy and capital structure if it was forced to consider re-organization and bankruptcy strategies; and finally discuss Target's international investment and financing

Capsim is a business simulation that allows users to learn how to apply business strategies through a simulation. Capsim provides four practice rounds and four competitive rounds. After concluding the fourth practice round of Capsim, a financial analysis must be done individually. The purpose of this initial financial analysis is to understand if the company is healthy. After my analysis, I concluded that the company is not in a healthy state. The way I determined this was through the following three ratios: Return on Total Assets (ROA), Return on Stockholders’ Equity (ROE) and Debt-to-Equity Ratio.

Sears Holdings is a relatively new company, having only been created in November of 2004 (Barbash & Barbaro, 2004). At that time, Kmart Holdings purchased Sears, Roebuck, and Co. The corporation decided it would operate stores under both names, and the merger was officially completed in March of 2005. The shareholders voted to close the deal, or it would not have been able to take place. Now the company is called Sears Holdings, and it operates both Sears and Kmart stores (Barbash & Barbaro, 2004). The company also markets both brands without blending them or favoring one over the other. There were several reasons why the companies chose to combine.

I also chose Capital One Financial Corporation. I chose this because i use this bank myself and wanted to learn more about it as it seemed to be very successful and a possible good investment. Capital One's (COF) history is shorter than different banks. It was founded in 1994. This was when Signet Financial Corp. branched its credit card business into a different section named Capital One. The new corporation was led by Richard Fairbank. Capital One was a monoline credit card organization in the mid 1990s. Capital One constructed a solid credit card business. This procedure paid off but if the credit card business were to decline it would mean disaster for them. Capital One expanded into retail banking in the late 1990s and mid 2000s. It

One night in 1981, Jeff Munks, a police office in San Jose, CA responded to an urgent call and arrived at a residence where a Vietnamese immigrant who spoke no English was screaming and waving his arms agitatedly. Next to him, his son was having trouble breathing. After Jeff guessed what had been happening and immediately called for an ambulance, he kept thinking about emergency situations where danger is exacerbated because of a language barrier. This resulted in Telephone Interpretation being offered since that year. This service connects trained interpreters via telephone to Limited English Proficient (LEP) Individuals. Cyracom International is one of those companies that provide critical

These are strike years so we will ignore them. In 1994, ROE is less than that of last three years. Overall its not good sign, but its explanation will be given in upcoming ratios.