(1)

nalysis/Project

After Analyzing the years 2020/2021/2022 for Arab bank- Jordan. Please answer the following questions

Part One:

Required:

Name of Audit Company including the type of Audit Report, for the three years, discuss briefly.

Part Two:

Required:

a.	Prepare a vertical common-size analysis of banks income statement for each year, using Interest income as the base.
b.	Prepare a vertical analysis of banks statement of financial position for each year, using the Totals of each section as the base.(Total assets/Total Liabilities/ Total owners equity)
c.	Comment briefly on the changes between the years, based on the vertical common-size statement.

Part Three:

Required:

a.	Using 2020 as the base year, apply the horizontal analysis, for your Income statement.
b.	Using 2020 as the base year, apply the horizontal analysis, for your Statement of financial position.

c. Comment on the results of the horizontal analysis.

Part Four: Calculate the following ratios and analyze your results for the years 2020/2021/2022 (replacing net sales with net interest income if desired)

Liquidity Ratios

1. Current Ratio
2. Acid-Test Ratio
3. Cash Ratio

Profitability Ratios

1. Net profit margin
2. Return on Assets
3. Return on Equity
4. Return on capital employed

Market Ratios

1. Earnings Per Share
2. Book Value per Share
3. Price earnings ratio
4. Market value to book value

Activity Ratios

1. Investment to deposit ratio. (INVESTMENTS/DEPOSITS)
2. Resource Utilization ratio. (INVESTMENTS/(DEPOSITS + OWNERS EQUITY)