Accounting Capstone 1
Accounting Capstone Task 2: Analysis of Home
Depot Erin Bybee
Student ID# 496517
Western Governors
University
,Accounting Capstone 2
A. Company Information Template
Complete the template for your chosen company based on the 2013 10-K and the 2013 annual
report.
A1. Company Information
Identify the company’s basic information, including each of the following:
Company’s name The Home Depot
The Home Depot was formed in
Company’s date of formation
Delaware in 1978.
The Home Depot is part of the retail
Industry in which the company operates industry, selling building materials and home
improvement products.
Company’s size in terms of annual sales $78,812,000,000
Company’s size in terms of total assets $40,518,000,000
Company’s size in terms of employees Approximately 365,000 associates were
(all full- and part-time) employed at the end of 2013.
$106,053,000,000.00
This calculation is based on the outstanding
number of shares for the 2013 fiscal year end
Company’s size in terms of total market value
of 1.38 billion shares and the closing stock
price of $76.85 on Jan 31,2014, which is the
last closing date before the fiscal year end.
The Home Depot store headquarters is in
Atlanta, Georgia. There was a total of 2,263
stores. 1,977 of these stores were in the
Location of company headquarters, including United States, which includes stores in all 50
the states and countries in which it operates states, the District of Columbia, Guam, Puerto
Rico and the Virgin Islands. There were also
180 stores in Canada and 106 stores in
Mexico.
, Accounting Capstone 3
A2. Customers and Suppliers
The three-primary type of customers for
home Depot are:
• Do-it-Yourself Customers: these are
customers that buy their own products
and complete their own projects.
• Do-It-For-Me Customers: these are
customers that buy their own
products, but have their projects
completed by someone else.
• Professional Customers: these are
Identify the company’s top three customers who professional
customers and suppliers. contractors, remodelers, etc. that buy
the products and complete the projects
for customers.
The Home Depot does not have three top
suppliers. Their goal is to offer an assortment
of products from and assortment of suppliers.
Their stores typically carry 30,000-40,000
different products throughout the year from
these suppliers.
A3. Financing
The main sources of financing for The Home
Depot are:
1. Proceed from Long-Term Borrowing,
net of discounts: $5.222 billion
2. Proceeds from sale of Common Stock:
$241 million
3.Commercial Papers: allow borrowing up to
$2 billion
Identify the company’s sources of financing. 4. Credit facilities: Collection of banks up to
$2 billion dollars as a back-up to
commercial papers.
5. Capital Lease: Used to finance portion of
real estate. These capital leases have a
present value of 14.724 which is the value
of the Long-Term Debt and Current
Installments on Long-Term Debt from the
consolidated balance sheet.
Accounting Capstone Task 2: Analysis of Home
Depot Erin Bybee
Student ID# 496517
Western Governors
University
,Accounting Capstone 2
A. Company Information Template
Complete the template for your chosen company based on the 2013 10-K and the 2013 annual
report.
A1. Company Information
Identify the company’s basic information, including each of the following:
Company’s name The Home Depot
The Home Depot was formed in
Company’s date of formation
Delaware in 1978.
The Home Depot is part of the retail
Industry in which the company operates industry, selling building materials and home
improvement products.
Company’s size in terms of annual sales $78,812,000,000
Company’s size in terms of total assets $40,518,000,000
Company’s size in terms of employees Approximately 365,000 associates were
(all full- and part-time) employed at the end of 2013.
$106,053,000,000.00
This calculation is based on the outstanding
number of shares for the 2013 fiscal year end
Company’s size in terms of total market value
of 1.38 billion shares and the closing stock
price of $76.85 on Jan 31,2014, which is the
last closing date before the fiscal year end.
The Home Depot store headquarters is in
Atlanta, Georgia. There was a total of 2,263
stores. 1,977 of these stores were in the
Location of company headquarters, including United States, which includes stores in all 50
the states and countries in which it operates states, the District of Columbia, Guam, Puerto
Rico and the Virgin Islands. There were also
180 stores in Canada and 106 stores in
Mexico.
, Accounting Capstone 3
A2. Customers and Suppliers
The three-primary type of customers for
home Depot are:
• Do-it-Yourself Customers: these are
customers that buy their own products
and complete their own projects.
• Do-It-For-Me Customers: these are
customers that buy their own
products, but have their projects
completed by someone else.
• Professional Customers: these are
Identify the company’s top three customers who professional
customers and suppliers. contractors, remodelers, etc. that buy
the products and complete the projects
for customers.
The Home Depot does not have three top
suppliers. Their goal is to offer an assortment
of products from and assortment of suppliers.
Their stores typically carry 30,000-40,000
different products throughout the year from
these suppliers.
A3. Financing
The main sources of financing for The Home
Depot are:
1. Proceed from Long-Term Borrowing,
net of discounts: $5.222 billion
2. Proceeds from sale of Common Stock:
$241 million
3.Commercial Papers: allow borrowing up to
$2 billion
Identify the company’s sources of financing. 4. Credit facilities: Collection of banks up to
$2 billion dollars as a back-up to
commercial papers.
5. Capital Lease: Used to finance portion of
real estate. These capital leases have a
present value of 14.724 which is the value
of the Long-Term Debt and Current
Installments on Long-Term Debt from the
consolidated balance sheet.
