The following statistics are presented for 2012 and 2011 for the National Community Bank. (in tho...
The following statistics are presented for 2012 and 2011 for the National Community Bank.
(in thousands) 2012 2011
Average loans $ 436,000 $ 448,000
Average total assets 1,250,000 1,225,000
Average earning assets 900,000 880,000
Average total deposits 850,000 894,000
Average total equity 75,000 68,000
Interest expense 99,000 79,000
Interest income 149,000 119,000
Required:
a. For each year:
1. Calculate the deposits times capital.
2. Calculate the loans to deposits.
3. Calculate the equity capital to total assets.
4. Calculate the interest margin to average earning assets.
b. Comment on the results in 1 through 4, using the perspective of a shareholder.
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The following statistics are presented for 2012 and 2011 for the National Community Bank. (in tho...
Megalopolis Bank has the following balance sheet and income statement Assets Cash and due from banks...
Megalopolis Bank has the following balance sheet and income statement Assets Cash and due from banks Investment securities Repurchase agreements Loans Fixed assets Other assets Balance Sheet (in millions) Liabilities and Equity $ 10,000 Demand deposits 33,000 NOW accounts 52,000 Retail CDs 100.000 Debentures 25,000 Total liabilities 5,000 Common stock Paid-in capital Retained earnings $225,000 Total liabilities and equity $ 29,000 99,000 38.000 29,000 $195,000 12,000 4,000 14,000 $225,000 Total assets Income Statement Interest on fees and loans Interest on...
Grogan Inc. Grogan Inc. had the following information available from its 2011 and 2012 financial statements:...
Grogan Inc. Grogan Inc. had the following information available from its 2011 and 2012 financial statements: Balance sheet information: Current assets Long term assets Total assets 2011 $ 15,000 107.000 $122.000 2012 $ 20,000 207.000 $227,000 Current liabilities Long-term liabilities Total liabilities $ 16,000 40.000 $ 56,000 $ 11,500 60.000 $ 71,500 Common stock Retained earnings Total stockholders' equity $ 30,000 36.000 $ 66.000 $71,750 83.750 $155,500 Income statement information: Income before interest and taxes Interest expense Tax expense Net...
The financial statements for First National Bank (FNB) are shown below: Balance Sheet First Na...
The financial statements for First National Bank (FNB) are shown below: Balance Sheet First National Bank Assets Liabilities and Equity Cash $ 520 Demand deposits $ 5,390 Demand deposits from other FIs 1,700 Small time deposits 11,200 Investments 4,400 Jumbo CDs 3,550 Federal funds sold 2,235 Federal funds purchased 2,600 Loans 16,225 Equity 2,550 Reserve for loan losses (1,825 ) Premises 2,035 Total assets $ 25,290 Total liabilities/equity $ 25,290 Income Statement First National Bank Interest income $ 2,950 Interest...
Problem 12-8 (LG 12-5) Smallville Bank has the following balance sheet, rates earned on its assets,...
Problem 12-8 (LG 12-5) Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Rate Earned (3) Balance Sheet (in thousands) Assets Cash and due from banks $ 7,900 Investment securities 41,000 Repurchase agreements 31,000 Loans less allowance for losses 99,000 Fixed assets 29,000 Other earning assets 5,000 Total assets $212,900 Liabilities and Equity Demand deposits $ 17,000 NOW accounts 88,000 Retail CDs 37,000 Subordinated debentures 33,000 Total liabilities 175,000 Common stock...
Megalopolis Bank has the following balance sheet and income statement. For Megalopolis, calculate: Return on...
Megalopolis Bank has the following balance sheet and income
statement.
For Megalopolis, calculate:
Return on equity
Return on assets
Asset utilization
Equity multiplier
Profit margin
Interest expense ratio
Provision for loan loss ratio
Noninterest expense ratio
Tax ratio
Balance Sheet (in millions) Assets Liabilities and Equity Cash and due Demand from banks $ 9,000 deposits $ 19,000 Investment securities 23,000 NOW accounts 89,000 Repurchase agreements 42,000 Retail CDs 28,000 Loans 90,000 Debentures 19,000 Fixed assets 15,000 Total liabilities $155,000...
The data on the next page are taken from the 2013 annual report for synovus, which...
The data on the next page are taken from the 2013 annual
report for synovus, which reported $812 million in NII before
provisions and $26.3 billion in average assets in 2013. Review the
information and answer the following questions:
1.what happened to earning asset yields between 2012 and 2013?
what happened to the interest cost of liabilities over the same
period?
2.What were the bank's spread and NIM in 2013? Why did the two
figures differ?
3.How much did earning...
Calculate the following ratios for 2012 and show the steps involved: a) Inventory turnover ratio b)...
Calculate the following ratios for 2012 and show the steps
involved:
a) Inventory turnover ratio
b) average days in inventory
c) receivables turnover ratio
d) average collection period
e) asset turnover ratio
f) profit margin on sales
g) return on assets
h) return on shareholders equity
i) equity multiplier
j) return on shareholders equity using the Du Port framework
Note: See attached balance sheet and income statement below as
reference
Parent Company 2012 RO Consolidated 2012 Notes 2011 2011 RO...
Dudley Bank has the following balance sheet and income statement. page 412 Income Statement Interest on...
Dudley Bank has the following balance sheet and income
statement.
page 412
Income Statement
Interest on fees and loans $6,715
Interest on repurchase agreements 143
Interest on other investment securities 1,705
Interest on deposits in banks 60
Total interest income $8,623
Interest on deposits 3,018
Interest on debentures 1,140
Total interest expense $4,158
Net interest income $4,465
Provision for loan losses 200
Noninterest income. 950
Noninterest expenses 1,720
Income before taxes $3,495
Taxes 1,220
Net income 2275. For Dudley Bank,...
perform a horizontal analysis of the MCL income statement (table 4-7) for 2011 and 2012. wrote...
perform a horizontal analysis of the MCL income statement (table
4-7) for 2011 and 2012. wrote an explanation of this analysis.
40 Moderately Large Corporation Consolidaed Balance Sheet (in thousands except share data) Fiscal Year Ended T he Dec. 31, 2013 Dec. 31, 2012 ASSETS Current assets: Cash and cash equivalents $1,369 Accounts receivable, net $1,427 1,008 876 Inventories 1,489 481 Prepaid expenses and other current assets 157 126 Deferred income taxes, net 44 Total current assets 4,066 2,950 Property,...
Onshore Bank has $39 million in assets, with risk-adjusted assets of $29 million. Core Equity Tier...
Onshore Bank has $39 million in assets, with risk-adjusted assets of $29 million. Core Equity Tier 1 (CETI) capital is $1,350,000, additional Tier I capital is $550,000, and Tier II capital is $438,000. The current value of the CET1 ratio is 4.66 percent, the Tier I ratio is 6.55 percent, and the total capital ratio is 8.06 percent. Calculate the new value of CETI, Tier I, and total capital ratios for the following transactions. c. a. The bank repurchases $119,000...
Megalopolis Bank has the following balance sheet and income statement Assets Cash and due from banks Investment securities Repurchase agreements Loans Fixed assets Other assets Balance Sheet (in millions) Liabilities and Equity $ 10,000 Demand deposits 33,000 NOW accounts 52,000 Retail CDs 100.000 Debentures 25,000 Total liabilities 5,000 Common stock Paid-in capital Retained earnings $225,000 Total liabilities and equity $ 29,000 99,000 38.000 29,000 $195,000 12,000 4,000 14,000 $225,000 Total assets Income Statement Interest on fees and loans Interest on...
Grogan Inc. Grogan Inc. had the following information available from its 2011 and 2012 financial statements: Balance sheet information: Current assets Long term assets Total assets 2011 $ 15,000 107.000 $122.000 2012 $ 20,000 207.000 $227,000 Current liabilities Long-term liabilities Total liabilities $ 16,000 40.000 $ 56,000 $ 11,500 60.000 $ 71,500 Common stock Retained earnings Total stockholders' equity $ 30,000 36.000 $ 66.000 $71,750 83.750 $155,500 Income statement information: Income before interest and taxes Interest expense Tax expense Net...
Problem 12-8 (LG 12-5) Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Rate Earned (3) Balance Sheet (in thousands) Assets Cash and due from banks $ 7,900 Investment securities 41,000 Repurchase agreements 31,000 Loans less allowance for losses 99,000 Fixed assets 29,000 Other earning assets 5,000 Total assets $212,900 Liabilities and Equity Demand deposits $ 17,000 NOW accounts 88,000 Retail CDs 37,000 Subordinated debentures 33,000 Total liabilities 175,000 Common stock...
Megalopolis Bank has the following balance sheet and income
statement.
For Megalopolis, calculate:
Return on equity
Return on assets
Asset utilization
Equity multiplier
Profit margin
Interest expense ratio
Provision for loan loss ratio
Noninterest expense ratio
Tax ratio
Balance Sheet (in millions) Assets Liabilities and Equity Cash and due Demand from banks $ 9,000 deposits $ 19,000 Investment securities 23,000 NOW accounts 89,000 Repurchase agreements 42,000 Retail CDs 28,000 Loans 90,000 Debentures 19,000 Fixed assets 15,000 Total liabilities $155,000...
The data on the next page are taken from the 2013 annual
report for synovus, which reported $812 million in NII before
provisions and $26.3 billion in average assets in 2013. Review the
information and answer the following questions:
1.what happened to earning asset yields between 2012 and 2013?
what happened to the interest cost of liabilities over the same
period?
2.What were the bank's spread and NIM in 2013? Why did the two
figures differ?
3.How much did earning...
Calculate the following ratios for 2012 and show the steps
involved:
a) Inventory turnover ratio
b) average days in inventory
c) receivables turnover ratio
d) average collection period
e) asset turnover ratio
f) profit margin on sales
g) return on assets
h) return on shareholders equity
i) equity multiplier
j) return on shareholders equity using the Du Port framework
Note: See attached balance sheet and income statement below as
reference
Parent Company 2012 RO Consolidated 2012 Notes 2011 2011 RO...
Dudley Bank has the following balance sheet and income
statement.
page 412
Income Statement
Interest on fees and loans $6,715
Interest on repurchase agreements 143
Interest on other investment securities 1,705
Interest on deposits in banks 60
Total interest income $8,623
Interest on deposits 3,018
Interest on debentures 1,140
Total interest expense $4,158
Net interest income $4,465
Provision for loan losses 200
Noninterest income. 950
Noninterest expenses 1,720
Income before taxes $3,495
Taxes 1,220
Net income 2275. For Dudley Bank,...
perform a horizontal analysis of the MCL income statement (table
4-7) for 2011 and 2012. wrote an explanation of this analysis.
40 Moderately Large Corporation Consolidaed Balance Sheet (in thousands except share data) Fiscal Year Ended T he Dec. 31, 2013 Dec. 31, 2012 ASSETS Current assets: Cash and cash equivalents $1,369 Accounts receivable, net $1,427 1,008 876 Inventories 1,489 481 Prepaid expenses and other current assets 157 126 Deferred income taxes, net 44 Total current assets 4,066 2,950 Property,...
Onshore Bank has $39 million in assets, with risk-adjusted assets of $29 million. Core Equity Tier 1 (CETI) capital is $1,350,000, additional Tier I capital is $550,000, and Tier II capital is $438,000. The current value of the CET1 ratio is 4.66 percent, the Tier I ratio is 6.55 percent, and the total capital ratio is 8.06 percent. Calculate the new value of CETI, Tier I, and total capital ratios for the following transactions. c. a. The bank repurchases $119,000...
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