Financial statement Analysis on

Financial statement Analysis on

Course Name: Managerial Accounting Submitted To:

Professor Dr. Ayub Islam Faculty of Business Studies Premier University

Prepared By
Laila Nur Zannat Student ID# !"#!$"!"#%"# &&% Semester' !nd ()BA* !+t, Batc,Submission Date' !.t, November/ !# %

P(0)I0( UNI10(SI23 45I22A67N6

1. MTB Profile 2,e 4om8any 9as incor8orated on Se8tember !./ ... under t,e 4om8anies Act ..& as a 8ublic com8any limited by s,ares for carryin: out all ;inds of ban;in: activities 9it, Aut,orised 4a8ital of 2;. %</##/###/### divided into %</###/### ordinary s,ares of 2;. ## eac,. 2,e 4om8any 9as also issued 4ertificate for 4ommencement of Business on t,e same day and 9as :ranted license on 7ctober #=/ ... by Ban:lades, Ban; under t,e Ban;in: 4om8anies Act .. and started its ban;in: o8eration on 7ctober !&/ .... As envisa:ed in t,e )emorandum of Association and as licensed by Ban:lades, Ban; under t,e 8rovisions of t,e Ban;in: 4om8anies Act .. / t,e 4om8any stared its ban;in: o8eration and entitled to carry out t,e follo9in: ty8es of ban;in: business. i. All ty8es of commercial ban;in: activities includin: )oney )ar;et o8erations. ii. Investment in )erc,ant Ban;in: activities. iii. Investment in 4om8any activities. iv. Financiers/ Promoters 4a8italists etc. v. Financial Intermediary Services. vi. Any related Financial Service. 2,e 4om8any *Ban;- o8erates its 5ead 7ffice at D,a;a and $+ branc,es. 2,e 4om8any> Ban; carries out international business t,rou:, a 6lobal Net9or; of Forei:n 4orres8ondent Ban;s. Registered Name of the Company )utual 2rust Ban; Limited Le:al Form 2,e 4om8any 9as incor8orated on Se8tember !./ ... under t,e 4om8anies Act ..& as a 8ublic com8any limited by s,ares for carryin: out all ;inds of ban;in: activities 9it, Aut,orised 4a8ital of 2;. %</##/###/### divided into %</###/### ordinary of 2;. ## eac,.

Company Registration No. 4%<+#+ *$$=->..on Se8tember !./ ... Ban:lades, Ban; Permission No. B(PD *P- +&&*+<>.."%#< on 7ctober =/ ... (e:istered 7ffice ' )2B 4entre/ !$ 6uls,an Avenue )(B ?ris,i is desi:ned for direct lendin: in t,e a:riculture sector. 7nly eli:ible farmers and a:ri S)0s may a88ly for t,e loan. 4ro8s cultivatiion/ fis,eries/ livestoc; @ 8oultry are t,e 8riority sector of lendin:. Features and Benefits ' Loan amount u8 to BD2 %.## crore. Loan tenure u8 to = years (ate of interest #A 8.a *only in case of re"finance from BB U8 to BD2 =.## lac is collateral Free. 0asy re8ayment s,edule. No service c,ar:e c,ar:e or ,idden c,ar:e. 2imely disbursement

SWIFT CODE MTBL BD DH Corporate Webisite Mem ers!i"s 4,amber of 4ommerce and Industry/ D,a;a *)44I/ D 2,e Institute of Ban;erBs Ban:lades, *IBB Ban:lades, Forei:n 0Cc,an:e DealerBs Association *BAF0DA Ban:lades, Institute of Ban; )ana:ement *BIB) International 4,amber of 4ommerce Ban:lades, Limited *I44B Associate of Ban;ers Ban:lades, Limited *ABB-.

 Ban:lades, Association of Public Listed 4om8anies *BAPL4 American 4,amber of 4ommerce in Ban:lades, *A)45)Mission # De as8ire to be one of t,e most admired ban;s in t,e nation and be reco:niEed as an innovative and client"focused com8any/ enabled by cuttin:" ed:e tec,nolo:y/ a dynamic 9or;force and a 9ide array of financial 8roducts and services. $ision )utual 2rust Ban;Bs vision is based on a 8,iloso8,y ;no9n as )2B%1. De envision )2B to be ' 7ne of t,e Best Performin: Ban;s in Ban:lades, 2,e Ban; of 4,oice A 2ruly Dorld"class Ban; )2B Board of Directors 2,e follo9in: are members of t,e )2B Board of Directors. 2o vie9 t,eir brief bio:ra8,ies 8lease clic; on t,e bames. )r. Samson 5. 4,o9d,ury/ 4,airman Dr. Arif Do9la/ 1ice 4,airman )r. Syed )anEur 0la,i )r. )o,ammed Abdur (ouf )r. )d. Abdul )ale; )r. (as,ed A,med 4,o9d,ury )r. )d. 5edayetulla, )rs. 3asmeen 5aFue )r. )d. Da;iluddin )rs. ?,9aGa Nar:is 5ossain )r. )d. Nasirulla, )r. )a,aboob )ors,ed 5assan )r. Anis A. ?,an/ )ana:in: Dirctor @ 407 )2B S)0 Ban;in: )2B B,a:yobati )2B B,a:yobati loan is only for t,e S)0s o9ned by t,e 9omen entre8reneurs. Feat%res an& Benefits# Loan amount ran:e BD2 .## lac to BD2 =#.## lac Loan tenure u8 to % years

(ate of interest #A 8.a *only in case of re"finance from BBU8 to BD2 =.## lac is collateral free 0asy re8ayment sc,edule No service c,ar:e or ,idden c,ar:e 8rocessin: 0asy 8rocessin:. At least one years of business eC8erience.

SWOT Analysis SD72 Analysis is t,e detailed study of or:aniEationHs eC8osure and 8otential in 8ros8ective of its stren:t,/ 9ea;ness/ o88ortunity and treat/ 2,is facilitates t,e or:aniEation to ma;e t,eir eCistin: line of 8erformance and also foresee t,e future to im8rove t,eir 8erformance in com8arison to t,eir com8etitors.

By analyEin: t,e 8erformance of t,e ban;/ 9e :et t,e follo9in: stren:t,s/ 9ea;ness/ o88ortunity and t,reats *SD72-. Stren't!s# ( )2B ,as an eCcellent re8utation in com8are 9it, t,eir 8eer :rou8 in mar;et. I All ty8es of unfair @ ille:al business 8ractice are stron:ly discoura:ed. I From t,e vie9 of education @ eC8erience )2B 0Cecutives are a88reciable. I )2B offers a bunc, of de8osit 8roducts 9it, attractive interest rate. I Dell":roomed youn: ener:etic 9or;in: force. I Dorld"class ban;in: decoration. I It is observed t,at )2B is tryin: to follo9 t,e scientific mana:ement t,eory. I 7ccu8yin: is a very im8ortant location. I Dell ;no9n cor8orate ,ouse and business concerns are doin: business t,rou:, )2B. Wea)ness I 4on:ested s8ace I )aGor 8ortion of de8osit is ,i:, cost fund. I Small mar;et s,ares in ban;in: business. O""ort%nity I 5ave a sco8e to increase credit and business. I )ore efficient 0"ban;in:" S)0 ban;in:/ Internet ban;in:/ 7nline ban;in:/ I 2o develo8 better net9or; I Increasin: t,e cor8orate clients

I 2ec,nolo:y su88ort im8rove service standard. I Private ban; becomes more reliable to local 8ublic. I 5ave o88ortunity to increase mar;et s,are I By doin: social activities/ it can create a :ood im8act on 8ublic mind. I Private can contribute more in t,e economic develo8ment our county. I 8rovide assistance to t,e small business or:aniEations I Increased com8etition in t,e mar;et for 8ublic de8osits. I (e:ularity environment favorin: 8rivate sector develo8ment I Sco8e of mar;et 8resentation t,ou:, diversified 8roducts and 9ide ban;in: net9or;. T!reats# I Ban;in: 2ec,nolo:ies are c,an:in: I 0Cistence of ,u:e branc, of deferent ban;s. I 7fferin: ,i:,er de8osit rate by ot,er 8rivate ban;s. I )ulti"8ractice Ban;in: by ot,er Ban; I 6ovt. im8oses taC and vat on 8rofits I Increased com8etition in online ban;in: sector. I 6ovt. restriction on certain ty8es of ban;in: activates. I Deteriorate 0C8ort/ Im8ort and :uarantee business due to com8etition as 9ell as economic slum8.

M%t%al Tr%st Ban) Limite& Balance S,eet As at December % / !# #

!# # !##. Pro"erty an& Asset BDT BDT 4as, +,-./,110,001 +,11+,2.+,333

!##< *ote BDT %.## 0,110,+1/,+41

=!#/##%/=&. !/.%$/ #</$+ %&$/+=#/+#. !+</+!=/< = !/+=+/!#%/#$< /+!%/=<#/=$=

In 5and *Includin: Forei:n 4urrency-

Dit, Ban:lades, Ban; and its a:ent Ban; *Includin: Forei:n 4urrencyBalance 9it, ot,er Ban;s @ Financial Institutions &.## %/$#+/ + / %. In Ban:lades, 7utside Ban:lades, Money at Call an& S!ort *otice In5estments ./=%+/.+%/=!< 6overnment 7t,ers Loans an& A&5ances %%/<<%/.!%/+#= !</=!./%&=/$ . Loans/ 4as, 4redit/ 7verdrafts/ etc. Bills Purc,ased and Discounted $.## =/$#$/&. /.%< =.##
</#+#/.==/=.$ /#!+/..</+.#

!/$+=/<%</ ! %/%%+/#+./$%
!+#/#. /=#< &=!/=+&/ + !=#/&+</++&

+#%/#=!/.&=

!/

</+<</#%! ==+/#=#/#<.

</.$ /.<</+== =+=/.<&/++%

./#.</.=&/%<$
% /&.%/$#+/.+ =/%$$/%% /!%# !/%.#/% =/+%& !&#/ $#/+#<

%+/+%#/&=</$.#
%=/.=!/< /<=< /+++/$&$/<%! !=/=#!/##&/<+$ %/#!+/%&#/+&%

FiCed Asset includin: Premises/ Furniture @ FiCture +!!/#=%/##. 7t,er Asset !/ ./ $+/#&# No"Ban;in: Asset " 2otal
=$/&=+/&&!/&%$

+.## !/++&/#!$/# # "

&&=/=+$/<<# /!&$/=<$/&+!

$+/ .#/+$. <.##

Pro8erty
=!/++&/+$$/#$<

and
%</.$&/.+&/ !%

Asset

Liabilities and 4a8ital Borro9in: from ot,er Ban;ers/ Financial Institutions #.## @ A:ents ..## /!+#/###/### &!/%=&/#$=/.#+ Bills Payable Savin: De8osit FiCed De8osit De8osit"Products Ot!er Lia ilities %/ <$/ . /#&. S% or&inate& De t " Total Lia ilities &./#.#/!=$/.=$ %$/&< /<+./&!= 4a8ital> S,are,olders> 0Fuity Paid u8 4a8ital %.## !/$$ /&+ /. . !.## " =!/% !/#= /% < !/=<!/ . /+<# .## !/$ %/==#/%% %/==#/###/### &=/<&$/%#./!#+ %%/<!#/&#+/=#$
</=.#/=#!/!!< =!./+%+/+!! =/$==/=++/#. !=/=+$/% &/%%+ =/&.&/ ++/<!. =/& ./<.=/&=. $/= / =$/%=+ &&+/&+!/%%< =!</.$%/.%+ !/.&%/#+$/!%+ =/ #&/#<+/<.+ !!/%$#/$++/+<. !$/!!./#$=/ !/$&./!<=/$<% =$ %/.<#/<#!/=$#

De8osit and 7t,er Accounts 4urrent De8osit @ 7t,er Accounts

!/ ./=<!/### /! ./!!!/$ $ &.## <./=.#/+.& %$ /+++.%!& %==/! </%<&

/&.$/<<#/### /+$$/% </&## .<#/%!=/$ +# /.& /.# %/#=+/#+% %<%/<$$/ <. <+/<. /#=& $ /+++/%!& .%/%!&/$+# %.!/!! /=<<

Statutory (eserve (evaluation (eserve on Investment in Securities 6eneral (eserve (etained 0arnin:s 2otal S,are,oldersB 0Fuity %/$<&/=#./ ! !/&<%/#.&/$.<
=!/++&/+$$/#$<
%</.$&/.+&/ !%

=.## $.## &/ &=/%. / <

2otal Liabilities and S,are,oldersB 0Fuity

=$/&=+/&&!/&%$

Net Asset 1alue *NA1- Per S,are

.=.=<

+%.<%

M%t%al Tr%st Ban) Limite& Balance S,eet As at December % / !# #

0111 0112 Pro"erty an& Asset BDT BDT Contin'ent Lia ilities Letter of 6%arantee Irrevocable Letter of 4redit Bills for 4ollection 7t,er
#/#$ /#&!/<$ /&$+/+

0114 *ote BDT 13.11

%/+!%/%&#/!<% &/$<%/. #/!!. +$#/$=%/=$# %/<&+/$$%/#.$ %/!&%/=%%/<$& %/ +$/= +/<%! !/.<./<.=/$#! %/$$./$+!/!!% +$#/! &/%#< $=&/==&/+=. %/#$+/%../#<+ %/.$$/.$$/!##

4ontin:ent
/# & /&$+/+ /# &

Liabilities

Ot!er Commitments Documentary credits and s,ort term trade related transactions For9ard asset 8urc,ased and for9ard de8osit 8laced
" " ## " " " " " " " " " " " "

!/&<%/%##/# Undra9n note issuance and revolvin: under9ritin: facilities

Undra9n formal standby facilities/ credit lines and ot,er commitments " 4laim a:ainst t,e ban; not ac;no9led:ed as debt Liti:ation 8endin: a:ainst Ban; !/&<%/%##/### 7t,er )emorandum Items 1alue of 2ravelersB 4,eFue on 5and 1alue of Ban:lades, Sanc,oy Patra on 5and "
=/&.</<$+/ .< #/#$ /#&!/<$ /&$+/+ /# &

"

"
" " " " " "

"

M%t%al Tr%st Ban) Limite& Profit and Loss Account For t,e year ended December % / !# #

0111 0112 0114 Pro"erty an& Asset *ote BDT BDT BDT BDT &/%=!/&$$/<## Interest Income ..## %/!+&/+<./ +$ Less ' Interest Paid on De8osit and Borro9in:/ etc. !#.## *et Interest Income 1,133,/33,/0431,1-2,1-2,32/ Income from Investments ! .## 4ommission/ 0Cc,an:e and Bro;era:e 7t,er 78eratin: Income !%.##

%/=!./+ </$.! &/!+./&../<%. !/+.!/=<&/!!! %/&#./%=#/#&%

3+3,1+-,-31
&=&/<%</%%. <=+/&$$/=#< /# #/$&#/$=& $$%/%&./$=# = +/= !/+.$ +.$/.&$/+&# =%/#=&/<!# %#/#<./ !% +#/&#=/&$& !!.##

/.++/..!/<=< /$+%/<+#/.+< / #!/&&#/!=< Total O"eratin' Income 0,.--,101,33- 1,4+2,.3-,304 Less # O"eratin' E7"en&it%re Salary and Allo9ances (ent/ 2aC/ Insurance/ 0lectricity Le:al 0C8ense Posta:e/ Stam8s and 2ele8,one Printin:/ Stationery/ Advertisement !$.## !+.## !=.## +,1..,/31,-40

=%</$=+/< + !++/+.&/+$ !&.## /$+ /!!. &+/%%./ $ +#/& </!%= ./ !#/### $=&/### $!%/### .&/$<=/ +$ % #/.+ /%.$

&<./<#=/! = %#%/##&/#$= $/!%!/$<. <+/<&#/.$. !/&<%/%##/### +=&/% + /#=$/!#+ !</!<</ +. !+/&+&/+#$ !+/&+=/+!! %%/=&$/&%! &/!##/### +/<< /... =.$/### $%!/### !##/### &##/### &+/<+!/.=% =</.+ /!#= < / # /++# &&/!=&/ !=

)ana:in: DirectorBs (emuneration DirectorsB Fee Audit Fee

!&.# !<.## !..##

De8reciation on and (e8air to Ban;Bs Pro8erty 7t,er 0C8enditure Total O"eratin' E7"enses 1,+.1,2+-,3+1 1,/0/,214,.. 213,110,00+ 1,12.,144,+24 /--,-4/,++1 Profit Before Pro5ision %#.##

1,31+,3+.,3.0

Less ' Provision a:ainst Loans @ Advances includin: 7ff"Balance S,eet Items Less ' Provision a:ainst Investment in Juoted S,ares Less ' Provision a:ainst 7t,er Asset Total Pro5ision .12,0.1,30. Profit Before Ta7 1,12-,-4.,103 1,+21,214,..1 ..4,.++,13. 0+.,111,111 /+/,...,+0+

=#</<%+/# ! & % % %/+ .## "

!%=/###/## $%!/+%!/### " " %/<!%/%!% " "

Less # Pro5ision for Ta7 -+2,+03,/0/ 4urrent 2aC Deferred 2aC *et Profit After Ta7 3..,1.3,-11 %.!/!! /=<< 401,/1.,024 .%/%!&/$+# +1/,1+1,04. % /$. /$#. (etained Sur8lus Brou:,t For9ard .31,+1+,0.+ 0.+,.11,321

%!.##

&%+/ %=/!< !/ .!/%&=

!= /%%./<<&=.&/###/### *!!/$<$/+&+-!/ $ /.#$

1,1-3, +34,242 1,11+,202,2/4 -+/,300,42-

M%t%al Tr%st Ban) Limite& Profit and Loss Account For t,e year ended December % / !# #

0111 A""ro"riation BDT

0112 *ote BDT

%=%/!$%/$## !%</<.+/##= !##/###/### .%/%!&/$+# !+</%<%/+ # =#/###/### % /$. /$#. /+#$/$ = "

Bonus S,are Issued durin: t,e year 2ransferred to Statutory (eserve 2ransferred to 6eneral (eserve

+.!/ $#/$#= $! /+#</%<# !&%/%.</!!& 8etaine& S%r"l%s, Carrie& For9ar& +..,014,+4+20,001,.44 Earnin's Per S!are +4.30 13.03

12+,+0-,/31 ++.11 +../+

M%t%al Tr%st Ban) Limite& Statement of 4as, Flo9 For t,e year ended December % / !# #

0111 0112 0114 A: Cas! Flo9 From O"eratin' Acti5ities # *ote BDT BDT BDT Interest (eceived =/# +/$#</+<#%/.$%/$$./=+# =/=%./!&!/%%= *%/!=./# $/%%!*%/& ./ <./.!=*!/==./#<+/!& Interest Paid on De8osits/ Borro9in:/ etc. #/%+=/!&< $/<%!/<=# / #!/### Dividend Income & </! +/% ! =. /..=/$+! %# /$<+/+$! " /###/### Fees @ 4ommission Income *%+&/=!=/.#$- *!+!/!#&/#$= *&+#/<<+/##$*%&+/=+&/&$.-* $$/.#</#==*=.=/++&/$<+(ecoveries of Loans 8reviously 9ritten off %.</ <+/ =< %% /$#./#.& %+&/%=$/=%! 4as, 8aid to 0m8loyees as Salaries and Allo9ances *+ +/#.&/==$*%=</!.#/<+ -*!.%/ %#/<. Advance Income 2aC Paid 4as, (eceived From 7t,er 78erational Income %&.## 4as, Paid for 7t,er 78erational 0C8enses %=.## Cas! Flo9 From O"eratin' Acti5ities Before C!an'es in *et C%rrent Asset 1,+01,-41,01. 1,.1-,241,201 1,+1/,3+4,13C!an'es in *et C%rrent Asset # *!/$+ /+%</+&+*!/&.#/ .#/$<$*$<#/=.=/<.<*=/!&=/=.=/+$+*&/#%./=#!/+ $*=/<%#/<<$/=#!Investment in 2reasure Bond *=<</&+=/.!#* /#+%/+!#/%=<.</$!!/%&$ Loans @ Advance *++%/=$+/ .&* $/&= /=.+<=#/###/### ./ =$/<. /<<& %/<%=/!<+/&!$ 7t,er Asset <.## +/.=./.<=/==+ " !/=##/###/### *%/ ##/###/###Ban; De8osit %/==#/###/### *!/!<#/###/###*&!$/!<=/$ *$&#/.+%/#%%#*=#$/&+%/<#=4ustomersB De8osit Subordinated Debt Borro9in: from 7t,er Ban;s/ Financial Institutions @ A:ents ..## Ot!er Lia ilities 11.11 *et Cas! Flo9 From O"eratin' Acti5ities *!/%$ /&=$/.&<%/ <!/++$/+#+ *%/%%&/..#/%+.B: Cas! Flo9 From In5estin' Acti5ities # ;1,1-1,23.,3++: -,/43,3.3,/03 ;0,104,0.0,01.:

Investment in S,ares @ Bonds *&=!/# &/# +*%%=/<!&/#$=* +=/.%#/%<$Purc,ase of Premises @ FiCed Asses *net*%$%/=%</&<$* % /= #/!&.* #</&+#/<!%*et Cas! Flo9 From In5estin' Acti5ities ;41.,..0,.1+: ;-/3,++-,+1-: ;04-,-11,012: C: Cas! Flo9 From Financin' Acti5ities # (eceived From Issue of (i:,t S,ares " " !&./&<#/### Dividend Paid " " " *et Cas! Flo9 From Financin' Acti5ities < < !&./&<#/### D: *et Increases in Cas! an& Cas! E=%i5alents ;A>B>C: ;1,4./,.04,0+/: -,001,-0+,+1+ ;0,1/+,13+,-1-: E: Effect of C!an'es of E7c!an'e 8ates on Cas! an& Cas! E=%i5alents < < F: O"enin' Cas! an& Cas! E=%i5alents 4,344,01/,0-/ -,./3,340,2+0 /,/1/,/.1,041 4losin: 4as, and 4as, 0Fuivalents *DK0KF$/.% /$+</##. </+<</!#$/!&= &/=$+/+<!/.%! 2,e above closin: 4as, and 4as, 0Fuivalents include ' =!#/##%/=&. %&$/+=#/+#. 4as, in 5and !/.%$/ #</$+ !/+=+/!#%/#$< !/$+=/<%</ ! %/$#+/ + / %. Balance 9it, Ban:lades, Ban; and its a:ent Ban; " " !/#+=/< </&%# Balance 9it, 7t,er Ban;s @ Financial Institutions +.</!$%/!$< /&$&/&## /!$!/.## )oney at 4all and S,ort Notice 2reasury Bill PriEe Bond
$/.% /$+</##.
</+<</!#$/!&= &/=$+.+<!/.%!

!+</+!=/< = /+!%/=<#/=$= +#%/#=!/.&= = #/###/### /%=#/..+/$#+ /&!$/###

Net 78eratin: 4as, Flo9 Per S,are *&.. !$=.&#

* %=.=#-

M%t%al Tr%st Ban) Limite& Statement of 4,an:es in 0Fuity For t,e year ended December % / !# # Partic%lars Pai& %" Ca"ital S!are Premi %m Stat%tor y 8eser5e

Balance as on # Lanuary !# # Bonus S,are Issued Durin: t,e year (i:,t S,are Issued durin: t,e year 4as, Dividend Paid durin: t,e year 2ransferred to 6eneral (eserve (evaluation (eserve transferred durin: t,e year Net Profit After 2aC for t,e year A88ro8riation made durin: t,e year Balance as on % December !# #

BD2 /+$$/% </&## %=%/!$%/ $## " " " "

BD2 " " " "s " "

6enera 8e5al%a Profit ? T l tion Loss 8eser5e S%r"l%s Acco%nt on In5estm ents BD2 BD2 BD2 BD2 B .<#/%!=/$ $ /+++ %<%/<$$/ %.!/!! / %/$ /%!& <. =<< . " " " *%=%/!$% /$##" " " " " " " " " " " " *!.&/!+= /%.=" " " "

*!. /

" " !/ ./=< !/###

" " "

"

"

!%</<.+/# !##/### #= /### /! ./!!! %$ /+++ /$ $ /%!&

+==/ =+/ += &# " *&%</<.+ /#=<./=.#/+ %==/! </ &/ .& %<&

Fi'%re in BDT Millions SL. Items . Aut,orised 4a8ital 0111 #/###.# 0112 %/<##.## 0114 %/<##.## 0113 %/<##.## 011/ /###.##

!. %. &. =. $. +. <. .. #. . !. %. &. =. $. +. <.

Paid u8 4a8ital S,are,oldersB 0Fuity 2otal 4a8ital *4oreKSu88lementary2otal Assets 2otal De8osits 2otal Loans and Advances 2otal Invesment 0C8ort Im8ort 2otal 4ontin:ent Liabilities 78eratin: Income 78eratin: 0C8enditure Profit before 8rovision and taC Profit after 8rovision and taC 2otal Provision maintained 0arnin: assets Non"interest earnin: assets 0arnin: 8er S,are *Fi:ure in BD2Boo; 1alue 8er S,are *Fi:ure in BD2-

# !/ ..=< &/%+<.< $/!!=.=$ =</!&$.# % &=/<&$.% %./$+$. ! ./! $.%% $/<&!.< = !+/$=!.< # =/&.<.< + %/%.<.$= /%.$..% !/## .+! .<<.%$ /!<%. = = / <&.+ + +/#$ .!$

/+$$.%! %/$<&.= %/.$..%% =!/++&.+ + &!/%=&.# + %%/<<%.. ! ./=%+..+ ./$+$.% < !./+!#.. . #/#$ .# & !/=&&.#! . +. # /$!$..! <!#.$ / %..<! &$/#+=.# & $/$...+!

&.$.<< !/&<%.#. !/<<<.%% %</.$&.. + %%/<!#.& !</=!..% = =/$#$.&. ./&$%.! & %#/%< .$ ! /&$+.+ /<%..=+ $&&.&. / .=.#. %#=.#% /!%$.#+ %%/.&&.$ # =/!#.%+

..+..! !/#&&.%# !/%+#.=. %!/ < .. # !&/++$.. ! !!/$<%.! % %/.=$.=% </!<!.# # !&/<$$.# # #/. $. & / <<.%& &!&.&< +$%.<= ! #.<# $#%.&% !</&+#.. + %/+ #..%

.=#.&# /.#&.<# !/ &.=% !=/.<%..! !!/!$&.#= </=. .=! !/<! .$! !/.&%.!. !$/!==.!. ./$+ .%. /!<&.<$ % =.%. .$..&+ &+<.!< !%...< !%/=+=.<% !/$&!. $

&$.$% !#$.=.

%<.+! +%.<%

&.%. +. =

...= .$.&=

!!.=$ <..<+

Dividend"4as, "Bonus S,are (eturn on Avera:e 0Fuity (eturn on Avera:e Assets *(7AA4lassified Loans as A 2otal Loans and Advances Lendin:"De8osit (atio 4a8ital AdeFuacy (atio Price"0arnin: ratio *2imesNo. of Branc,es No. of Branc,es

" !#A !&.=!A .+<A !.!<A

" !#A !$.$ A .+.A !.< A

" <A %.&+A #.<$A &..!A

#A !=A #.$<A #.+!A !.%.A

!#A =A !+.+ A !. #A .#%A

<$.=&A .&.A =. <

<#.##A ..!#A #.$&

<&.%$A #.%.A !!.!%

. .==A #. .A =...&

<%.=#A .<%A =. $

$+ /#=#

&& <&

%$ +%.

%# =+<

!= &+#

S Items L. . Local C%rrency De"osits 4urrent De8osit @ 7t,er Accounts !. Bills Payable %. Savin:s A>4 &. FiCed De8osits =. De8osits"Products Forei:n 4urrency De8osits 2otal De8osits eCcludin: (efinance (efinance 2otal De8osits and (efinance

0111 </! !.#=

0112 $/! +.!$

0114 =/!+#.$!

0113 %/<<<.<$

011/

!/+=&.

=!..+& =/$==.=< !=/=+$.% =/&.&. < <<.$! &=/$=$.& < <..<% &=/<&$.%

=!<..= =/ #&.#. !$/!!..#$ %/.<#.<# .#.%# &!/ =#.&$ !#%.$# &!/%=&.#$

&&+.&+ !/.&%.#< !!/%$#.$< !/$&..!< ...<% %%/++#..$ &..&= %%/<!#.&

=!=.%+ !/ &+.%# $/%%&. & /<%$.+% &&.=! !&/++$.. ! " !&/++$.. !

.$.+ /&%.. $/= . ! /%#&. &..=

$.

!!/!$& & " !!/!$& &

SL .

Items Local C%rrency De"osits

0111

0112

0114

0113

011

!. %. &. =. $.

2erm Loan S)0 Financin: 4onsumer Financin: 5ouse Buildin: Loan 2rust (ecei8ts 4as, 4redit Secured 7verdraft Lease Finance Bills Purc,ased and Discounted Loans to )2B Securities Ltd. 7t,er Loans and Advances Sub"2otal Forei:n 4urrency Advances 2otal

#/!$+..+ !/$&$.+$ /%+<.#. / #%.< $/ !+.$< =/+=<.<= &/++&..< $..## /+++.$= !/$=$.<% /+&!.<% %</&#&.&= !+ .$+ %./$+$. !

./%$..=+ =&.... / .+.+ <$ .=% $/ =$.=% =/&!+.+# =/.#$. + !=&.== !%.#.% " +%=.<! %%/<&..<< %&.#& %%/<<%..!

$/#+!.&! %# .&+ $$<.&# <#=.&# +/$ #..! &/$=$.$= %/$!&.+< !=+.!= %#!+.%& " &.$.< !</=! .&& +..# !</=!..%&

%/$$#.$= =..!% &!.=. $#&.#< $/&$=.$< %/+&..!# !/.&$.%+ != .#+ !/<&#.=# " /.$!.$. !!/$<!.#$ . + !!/$<%.!%

!/%&! " =.& & ..! $/!#. !/.+$ %/#! +<.% !/!%= "

/ <!

</=< . .&

</=. !

6(7D25 )0ASU(0)0N2' 6ro9t, means develo8ment and maturity. 7n t,e ot,er ,and/ :ro9t, is an increase in siEe/ number/ value or stren:t, etc. De can measure :ro9t, of an or:aniEation t,rou:, 8rofitability ratios. 2,e 8rofitability ratios are used to evaluate t,e firmBs 8rofits 9it, res8ect to a :iven level of sales/ a certain level of assets or o9nerBs investment. 2,ese 8rofitability ratios include t,e follo9in:' 6ross Profit )ar:in 78eratin: Profit )ar:in Net Profit )ar:in

 0arnin:s Per S,are (eturn on 2otal Assets (eturn on 0Fuity

S7L10N43 (A2I7S LiFuidity refers to t,e solvency of t,e firmBs overall financial 8osition"t,e ease 9it, 9,ic, it can 8ay its bills. 2,e liFuidity of a firm measures its ability to satisfy its s,ort"term obli:ations. 2,e t,ree basic measures of liFuidity are as follo9s' Net Dor;in: 4a8ital' Net 9or;in: ca8ital is used to measure t,e firmBs overall liFuidity. It is eC8ressed as follo9s' Net Dor;in: 4a8ital M 4urrent Asset N4urrent Liabilities 4urrent (atio' 2,e current ratio measures t,e firmBs ability to meet its s,ort"term obli:ations. It is eC8ressed as follo9s' 4urrent (atio M
Current Assets 4urrent Liabilities

Juic; (atio' 2,e Fuic; ratio is similar to t,e current ratio eCce8t t,at it eCcludes inventory/ 9,ic, is :enerally t,e least liFuid current ratio. 6enerally lo9 liFuidity of inventory results from t9o 8rimary factors' - )any ty8es of inventory cannot be easily sold because t,ey are 8artially com8leted items/ s8ecial 8ur8ose items and t,e li;eO !Inventory is ty8ically sold on credit. It is eC8ressed as follo9s' Juic; ratio M
Current Assets " Inventory 4urrent Liabilities

0FFI4I0N43 (A2I7S Activity (atios are used to measures t,e s8eed 9it, 9,ic, various accounts are converted into sales or cas,. Inventory 2urnover' Inventory 2urnover measures t,e liFuidity of a firmBs inventory. It is eC8ressed as follo9s' Inventory 2urnover M
Cost of 6oods Sold Inventory

Debtors 4ollection Period' 2,e Debtor 4ollection 8eriod is useful in evaluation of credit and collection 8olicies. It is eC8ressed as follo9s' Debtors 4ollection Period M
Debtors %$= 2otal 4redit Sales

4reditors Payment Period' 2,e Avera:e Payment Period measures t,e avera:e amount of time needed to 8ay accounts 8ayable. It is eC8ressed as follo9s' 4reditors Payment Period M
4reditors %$= 2otal 4redit Purc,ase

FiCed asset 2urnover' 2,e FiCed asset 2urnover measures t,e efficiency 9it, 9,ic, t,e com8any ,as been usin: its fiCed Assets to :enerate sales. It is eC8ressed as follo9s' FiCed asset 2urnover M
Sales Net FiCed Assets

2otal Asset 2urnover' 2,e 2otal Asset 2urnover indicates t,e efficiency 9it, 9,ic, t,e firm uses all its assets to :enerate sales. It is eC8ressed as follo9s' 2otal Asset 2urnover M
Sales 2otal Assets

P(7FI2ABILI23 (A2I7S )easures of 8rofitability relate t,e returns of t,e firm to its sales/ assets/ eFuality/ or s,are value. 2,ese measures allo9 t,e analyst to evaluate t,e firmBs earnin: 9it, res8ect to a :iven level of sales/ a certain level of assets/ t,e o9nerBs investment/ or s,are value. 6ross Profit )ar:in' 2,e 6ross Profit )ar:in measures t,e 8ercenta:e of eac, sales Dollar > 2a;a remainin: after t,e firm 8aid for its :oods. It is eC8ressed as follo9s' 6ross Profit )ar:in M
6ross Profits ## Sales

78eratin: Profit )ar:in' 2,e 78eratin: Profit )ar:in measures t,e 8ercenta:e of 8rofit earned on eac, sales Dollar>2a;a before interest and taCes. It is eC8ressed as follo9s' 78eratin: Profit )ar:in M
78eratin: Profits ## Sales

Net Profit )ar:in' 2,e Net Profit )ar:in measures t,e 8ercenta:e of eac, sales Dollar > 2a;a remainin: after all eC8enses/ includin: taCes/ ,ave been deducted. It is eC8ressed as follo9s' Net Profit )ar:in M
Net Profits After 2aCes ## Sales

(eturn 7n 2otal Assets *(7A-' 2,e (eturn on 2otal Assets *(7Ameasures t,e overall effectiveness of mana:ement in :eneratin: 8rofits 9it, its available assets. 2,e (7A is called t,e (eturn on Investment. It is eC8ressed as follo9s' (eturn on 2otal Assets M
Net Profits After 2aCes ## 2otal Assets

(eturn 7n 0Fuity' 2,e (eturn on 0Fuity measures t,e return earned on t,e o9nersB *bot, 8referred and common stoc;,oldersB- investment in t,e firm. It is eC8ressed as follo9s' (eturn on 0Fuity M
Net Profits After 2aCes ## Stoc;,oldersH 0Fuity

 0arnin:s Per S,are *0PS-' 2,e 0arnin:s 8er s,are re8resents t,e number of Dollars > 2a;a earned on be,alf of eac, outstandin: s,are of common stoc;. It is eC8ressed as follo9s' 0PS M
0arnin:s available For 4ommon Stoc;,older Number of S,ares of 4ommon Stoc; 7utstandin:

ANAL3ZIN6 D0B2 (A2I7S 4reditors claims must be satisfied before earnin: are distributed to t,e s,are,olders/ so it is in t,e best interested of t,e 8resent and 8ros8ective s,are,olders to 8ay close attention to t,e indebtedness of a cor8oration. Debt (atio' 2,e Debt (atio measures t,e 8ro8ortion of total assets financed by t,e firmBs creditors. 2,e ,i:,er t,is ratio/ t,e financial levera:e t,e firm t,e firm ,as. It is eC8ressed as follo9s' Debt (atio M
2otal Liabilities 2otal Assets

Debt"2o"0Fuity (atio' 2,e Debt"2o"0Fuity (atio indicates t,e relations,i8 bet9een t,e lon:"term funds 8rovided by creditors and t,ose 8rovided by t,e firmBs o9ners. It is eC8ressed as follo9s' Debt"2o"0Fuity (atio M
Lon: 2erm Debt Stoc;,olderH s 0Fuity

2imes Interest 0arned (atio' It measures t,e firmBs ability to ma;e interest 8ayments. It is eC8ressed as follo9s' 2imes Interest 0arned (atio M
0arnin:s Before Interest And 2aCes Interest

FiCed Payment 4overa:e' 2,e FiCed"Payment covera:e (atio measures t,e firmBs ability to meet all fiCed 8ayment obli:ations/ suc, as loan interest and 8rinci8al/ lease 8ayments/ and 8referred stoc; dividends. It is eC8ressed as follo9s' FiCed"Payment covera:e (atio M
0BI2 + Lease Payments Interest + Lease Payments + S*Princi8al + Preferred Stoc; Dividend- R > " 2-PQ

(A2I7 ANAL3SIS 7F )U2UAL 2(US2 BAN? F7( 250 30A( !# # Solvency (atios' . Net Dor;in: 4a8ital M 4urrent AssetsN4urrent Liabilities M %&=$ M ! <$ !!!#" !+#%###### !!!#

4omments' Net Dor;in: 4a8ital is used to measure t,e firmBs overall liFuidity. So/ t,e overall liFuidity of t,e ban; is 2;. ! <$ !!!#. !. 4urrent (atio M M
Current Assets 4urrent Liabilities %&=$ !!!# !+#######

M !.+!' 4omments' De ;no9 t,e ,i:,er t,e current ratio/ t,e :reater t,e )ar:in #f Safety. Alt,ou:, t,ere is no ,ard and fast rule/ conventionally/ a current ratio of !' is considered satisfactory. But/ t,e current ratio of t,e ban; is !.+!' O t,erefore/ it may be inter8reted to be insufficiently liFuid. %. Juic; ratio M M
Current Assets " Inventory 4urrent Liabilities %&=$ !!!# " # !+#######

M !.+!' 4omments' 5ere t,e minimum relations,i8 bet9een liFuid assets and current liabilities s,ould ideally be ' . 7t,er9ise/ t,e com8any mi:,t fail to meet its current obli:ations. 5ere t,e Fuic; ratio is !.+!' and it is recommended. 2,e Fuic; ratio 8rovides a better measure of overall liFuidity only 9,en t,e firmBs inventory cannot be easily converted into cas,. 5ere/ inventory is liFuid. So/ t,e current ratio is a 8referred measure of overall liFuidity of t,is ban;.

%.

4urrent Asset (atio M

4urrent Asset 2otal Asset

%&=$ !!!# M =$&=+&&!&%$

#.#$ ! $

Profitability (atios' . Net Interest )ar:in M M

Interest Income " Interest 0C8ense 2otal Asset &%=!&$$<## " %!+&+<. +$ =$&=+&&!&%$

M #.# .#< 4omments' A ,i:, net interest mar:in ratio is a si:n of :ood mana:ement. 0very firm s,ould try to increase its :ross 8rofit as muc, as 8ossible. De can see t,at t,e ban; ,as a ,i:,er :ross 8rofit mar:in. It is a very :ood si:n of business. !. Net Ban; 78eratin: )ar:in' M
2otal 78eratin: (evinues " 2otal 78eratin: 0C8ense 2otal Asset

%#==$+#&<! %= .%&+%# =$&=+&&!&%$

M #.#%# + 4omments' Net Ban; 78eratin: )ar:in is TPureU because t,ey measure only t,e 8rofits earned on o8erations and i:nore interest and taCes. A ,i:, o8eratin: 8rofit is 8referred. 2,e o8eratin: 8rofit of t,is ban; is better. So/ it is recommended. %. (eturn on 2otal Assets M M
Net Profits After 2aC ## 2otal Asset +== =+&# ## =$&=+&&!&%$

M .%& A 4omments' (7A measures t,e overall effectiveness of mana:ement in :eneratin: 8rofits 9it, its available assets. 2,e ,i:,er t,e 8ercenta:e/ t,e

,i:,er t,e effectiveness of t,e firm. But/ ,ere .%& Ais relatively satisfactory level. &. (eturn on 0Fuity M M
Net Profits After 2aCes ## Stoc;,oldersH 0Fuity

+== =+&# ## & &=%. <

M .<.!! A 4omments' 5ere (70 is .<.!! A. 6enerally/ t,e ,i:,er t,is returns/ t,e better off are t,e o9ners. =. 0PS M
0arnin:s available For 4ommon Stoc;,older Number of S,ares of 4ommon Stoc; 7utstandin:

M &$.$%A 4omments' 2,ere is &$.$%A earnin: 8er s,are because it is listed forei:n ban; in Ban:lades,. 7t,er (atios' . Debt (atios M M M 4omments' 2,e ,i:,er t,is ratio/ t,e :reater t,e amount of ot,er 8eo8leBs money bein: used to :enerate 8rofits. 2,e value indicates t,at t,e ban; ,as financed A of its assets 9it, debt and t,e value also indicates t,at t,e ban; ,as t,e de:ree of indebtedness and financial levera:e. !. Debt"2o"0Fuity (atio M M
Lon: 2erm Debt Stoc;,olderH s 0Fuity

2otal Liabilities 2otal Assets =$&=+&&!&%$ =$&=+&&!&%$

!==+$% &%%+ & &=%. <

M $. $.< A

4omments' 2,e ban; is not in a :ood 8osition from t,e vie9 of debt to eFuity ratio. 5ere t,e lendersB investment is $. $.< A of t,e o9nersB investment. So/ maGority financin: is bein: done by t,e s,are,oldersB fund. %. 2imes Interest 0arned (atio M M
0arnin:s Before Interest And 2aCes Interest +#%+%=+=! &%=!&$$<##

M %.. &&A 4omments' 2,e ,i:,er its value/ t,e better able t,e firm is to fulfill its interest obli:ations. 5ere t,e times interest earned ratio for t,is ban; seems acce8table because a value of at least %.# and 8referably closer to =.# is often Su::ested. 2,us it ,as a :ood mar:in of safety.
Lon: 2erm Debt Net Dort, !==+$% &%%+ & &=%. <

=. Lon: 2erm Debt 2o Net Dort, M M

M $. $.< A 4omments' 2,e ban; is not in a :ood 8osition from t,e vie9 of lon:" term debt to net 9ort, ratio. 5ere t,e lendersB investment is $. $.< A of t,e o9nersB investment. So/ maGority financin: is bein: done by t,e s,are,oldersB fund.

 Pro8rietary (atio M

Pro8rietors Fund 2otal Assets

%&#.=<& < &+&%!<%<..

M #.!<' 4omments' 5ere t,e 8ro8rietary ratio is #.!<' t,at means every asset of 2;. t,e 8ro8rietor fund is #.!<. 2,e 8ro8rietary ratio is not acce8table because it could not touc, t,e standard norm *%'=-. But t,ere is no ,ard and fast rule conventionally. Pro8rietor Fund 2o 2otal Liabilities M
Pro8rietors Fund 2otal Liabilities

%&#.=<& < %&#!%!=&<

M #.%.' 4omments' 5ere t,e 8ro8rietor fund to total liabilities is #.%.' t,at means every liability of 2;. t,e 8ro8rietor fund is #.%.. 2,is ratio is not acce8table because it could not touc, t,e standard norm *%' -. But t,ere is no ,ard and fast rule conventionally.

(A2I7 ANAL3SIS 7F )U2UAL 2(US2 BAN? F7( 250 30A( !##. Solvency (atios' . Net Dor;in: 4a8ital M 4urrent AssetsN4urrent Liabilities M % #%.=%+++"%==####### M *&&$#&$!!%4omments' Net Dor;in: 4a8ital is used to measure t,e firmBs overall liFuidity. So/ t,e overall liFuidity of t,e ban; is 2;. *&&$#&$!!%-. !. 4urrent (atio M M
Current Assets 4urrent Liabilities % #%.=%+++ %==#######

M #.<+&' 4omments' De ;no9 t,e ,i:,er t,e current ratio/ t,e :reater t,e )ar:in #f Safety. Alt,ou:, t,ere is no ,ard and fast rule/ conventionally/ a current ratio of !' is considered satisfactory. But/ t,e current ratio of t,e ban; is #.<+&' O t,erefore/ it may be inter8reted to be insufficiently liFuid. %. Juic; ratio M M
Current Assets " Inventory 4urrent Liabilities % #%.=%+++ " # %==########

M #.<+&'

4omments' 5ere t,e minimum relations,i8 bet9een liFuid assets and current liabilities s,ould ideally be ' . 7t,er9ise/ t,e com8any mi:,t fail to meet its current obli:ations. 5ere t,e Fuic; ratio is #.<+&' and it is recommended. 2,e Fuic; ratio 8rovides a better measure of overall liFuidity only 9,en t,e firmBs inventory cannot be easily converted into cas,. 5ere/

inventory is liFuid. So/ t,e current ratio is a 8referred measure of overall liFuidity of t,is ban;. %. &. 4urrent Asset (atio M @%ic) ratio A
4urrent Asset 2otal Asset

% #%.=%+++ M =!++&+$$#$<

#.#=<< =

Current Assets " Inventory 4urrent Liabilities

% #%.=%+++ " # %==########

M #.<+&'

Profitability (atios' =. Net Interest )ar:in M M

Interest Income " Interest 0C8ense 2otal Asset

&!+.&..<%. " %&#.%=##&% =!++&+$$#$<

M #.# $&< 4omments' A ,i:, net interest mar:in ratio is a si:n of :ood mana:ement. 0very firm s,ould try to increase its :ross 8rofit as muc, as 8ossible. De can see t,at t,e ban; ,as a ,i:,er :ross 8rofit mar:in. It is a very :ood si:n of business. $. Net Ban; 78eratin: )ar:in' M
2otal 78eratin: (evinues " 2otal 78eratin: 0C8ense 2otal Asset

!=&&#!#++& . + #!!!% =!++&+$$#$<

M #.#%#<!+ 4omments' Net Ban; 78eratin: )ar:in are TPureU because t,ey measure only t,e 8rofits earned on o8erations and i:nore interest and taCes. A ,i:, o8eratin: 8rofit is 8referred. 2,e o8eratin: 8rofit of t,is ban; is better. So/ it is recommended.

+. (eturn on 2otal Assets M M

Net Profits After 2aC ## 2otal Asset <!#$#=!.< ## =!++&+$$#$<

M .== A 4omments' (7A measures t,e overall effectiveness of mana:ement in :eneratin: 8rofits 9it, its available assets. 2,e ,i:,er t,e 8ercenta:e/ t,e ,i:,er t,e effectiveness of t,e firm. But/ ,ere .== A is relatively satisfactory level. <. (eturn on 0Fuity M M
Net Profits After 2aCes ## Stoc;,oldersH 0Fuity

<!#$#=!.< ## %$<&=#. !

M !!.!+ A 4omments' 5ere (70 is !!.!+ A. 6enerally/ t,e ,i:,er t,is returns/ t,e better off are t,e o9ners. .. 0PS M
0arnin:s available For 4ommon Stoc;,older Number of S,ares of 4ommon Stoc; 7utstandin:

M %<.+!A 4omments' 2,ere is %<.+!A earnin: 8er s,are because it is listed forei:n ban; in Ban:lades,. 7t,er (atios' &. Debt (atios M M
2otal Liabilities 2otal Assets =!++&+$$#$< =!++&+$$#$<

M ' 4omments' 2,e ,i:,er t,is ratio/ t,e :reater t,e amount of ot,er 8eo8leBs money bein: used to :enerate 8rofits. 2,e value indicates t,at t,e ban; ,as financed A of its assets 9it, debt and t,e value also indicates t,at t,e ban; ,as t,e de:ree of indebtedness and financial levera:e.

=. Debt"2o"0Fuity (atio M M

Lon: 2erm Debt Stoc;,olderH s 0Fuity

!$!!.#$= =$ %$<&=#. !

M +.

<+A

4omments' 2,e ban; is not in a :ood 8osition from t,e vie9 of debt to eFuity ratio. 5ere t,e lendersB investment is +. <+A of t,e o9nersB investment. So/ maGority financin: is bein: done by t,e s,are,oldersB fund. $. 2imes Interest 0arned (atio M M
0arnin:s Before Interest And 2aCes Interest $!$. <== &!+.&..<%.

M %<.# $ A 4omments' 2,e ,i:,er its value/ t,e better able t,e firm is to fulfill its interest obli:ations. 5ere t,e times interest earned ratio for t,is ban; seems acce8table because a value of at least %.# and 8referably closer to =.# is often Su::ested. 2,us it ,as a :ood mar:in of safety.
Lon: 2erm Debt Net Dort, !$!!.#$= =$ %$<&=#. !

=. Lon: 2erm Debt 2o Net Dort, M M

M +.

<+A

4omments' 2,e ban; is not in a :ood 8osition from t,e vie9 of lon:" term debt to net 9ort, ratio. 5ere t,e lendersB investment is +. <+A of t,e o9nersB investment. So/ maGority financin: is bein: done by t,e s,are,oldersB fund.

 Pro8rietary (atio M

Pro8rietors Fund 2otal Assets

%&#.=<& < &+&%!<%<..

M #.!<' 4omments' 5ere t,e 8ro8rietary ratio is #.!<' t,at means every asset of 2;. t,e 8ro8rietor fund is #.!<. 2,e 8ro8rietary ratio is not acce8table because it could not touc, t,e standard norm *%'=-. But t,ere is no ,ard and fast rule conventionally. Pro8rietor Fund 2o 2otal Liabilities M
Pro8rietors Fund 2otal Liabilities

%&#.=<& < %&#!%!=&<

M #.%.' 4omments' 5ere t,e 8ro8rietor fund to total liabilities is #.%.' t,at means every liability of 2;. t,e 8ro8rietor fund is #.%.. 2,is ratio is not acce8table because it could not touc, t,e standard norm *%' -. But t,ere is no ,ard and fast rule conventionally.