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S3E6: Capital One Case Interview Example

Strategy Simplified

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How to Make 1.8 Million Per Year

We make 180 per year, but not everybody only in 70%. So we also have to factor that in. We actually on average make. 7% of the 180 across all. Okay. That was the people who by 70% you mean the interest rates, right? For 70% I mean, yeah, the ones that we're charging interest. And then we can subtract out. $100 from the default. The revenues that we have is $100 from transaction fees, 130 from interest. Per person, this results in 130 off revenue per person.

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