SEC 10-K report
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SEC10KProjectPowerPointACC221.pptxTHE Costco Wholesale Corporation
SEC 10-K Report
Maryam Tayeri
Company Introduction
The Costco Wholesale Corporation was first opened under the name of Price Club in 1976 and provides goods to its customers for reasonable prices.
This presentation analyzes the fiscal years of 2013 & 2014 Statement of Cash Flow in details such as: Operating , Investing, and Financing activities.
Analysis of Operating Cash Flow For the Fiscal Years of 2013 & 2014
Net cash provided by operating activities for the fiscal year of 2014 $3,984 million
Difference in income taxes for the year
($63 million)
Net cash provided by operating activities for the fiscal year of 2013 $3,437 million
Difference in income taxes for the year
($7 million)
Receivables Turnover Ratio Fiscal Year of 2014
Receivables Turnover Ratio :
Net Credit Sales/ Average Net Receivables =
$110,212/ (($1148+$1201)/2)= 93.84
Analysis of Investing Cash Flow Fiscal Years of 2013 & 2014
2014- Net cash used by investing activities ($2,093) Main investing activities: Purchase of short-term investments for ($2,503 million).
2013- Net cash used by investing activities ($2,251) Main investing activities: Purchase of short-term investments for ($2,572 million).
Analysis of Financing Cash Flow Fiscal Years of 2013 & 2014
Fiscal year of 2013
Net cash (used in)
provided by financing activities ($786 million)
Fiscal year of 2014
Net cash (used in) Provided by financing activities $44 million
Net increase (decrease) in cash & cash equivalent Fiscal years of 2013 & 2014
2014- Net cash increase by $1,094 million
2013- Net cash increase by $1,116 million
Recommendation Costco Corporation
By Analysis of three parts of the Statement of Cash Flow we can conclude that Costco Corporation is a healthy company for investments:
1. Net cash provided by operating activities has been increased, compared to the pervious year.
2. Net cash used for investing activities was mainly for the short-term investment for the last two years.
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