What are the possible financial misconducts a bank can do in their financial statements?
What are possible red flags in the b/s and p/l of the bank?
Conduct ratio analysis of profitability, liquidity, solvency and capital market strength and analysis on each of the findings.
In detail explain what does the Horizontal Analysis of the financial statements say about the bank's financial health?
H o x. u | I: Balance Sheet of SBI Current Year Previous Year Horizontal Analysis ._I ' latiahflfas Increase/ Decrease % Change Capital 8924612 8924612 0 0.00 Reserves and Surplus 2501676630 2336031993 165644637 7.09 Minority Interest 79438220 60369913 19068307 31.59 Deposits 32741606254 29405410611 3336195643 11.35 Borrowings 3329006703 4137476610 -808469907 -19.54 Other Liabilities and Provisions 3314271024 2936428222 377842802 12.87 Total 41974923443 38884641961 3090281482 795 . Cash and Balances with RBI 1669684605 1773627409 -103942804 -5.86 Balancees with Banks and Mon 873468031 481495230 391972801 81.41 Investments 12282842777 11192698162 1090144615 9.74 ' Advances 23743111812 22268536672 1474575140 6.62 ' Fixed Assets 400781681 407030526 -6248845 -1.54 Other Assets 3005034537 2761253962 243780575 8.83 Total 41974923443 38884641961 3090281482 7.95 Contingent Liabilities 12210831109 11212462783 998368326 8.90 Bills for Collections 557906954 700472264 -142565310 -20.35 A B C D E Profit and Loss for SBI Current Year Last Year Horizontal Analysis 3 Income Increase/Decrease % Change 4 Interest earned 2698516554 2533221741 165294813 6.53 5 Other income 981589938 773651853 207938085 26.88 6 Total 3680106492 3306873594 373232898 11.29 7 Expenditure 8 Interest expended 1611237986 1558674603 52563383 3.37 9 Operating Expenses 1317815630 1148003080 169812550 14.79 10 Provisions and Contingencies 569284591 569505170 -220579 0.04 11 Total 3498338207 3276182853 222155354 6.78 12 Profit/Loss 13 Net Profit/Loss for the year (before adjustment) 181768285 30690741 151077544 492.26 14 Add: Share in Profit of Associates 29631404 2814794 26816610 952.70 15 Less: Minority Interest 13721667 10509144 3212523 30.57 Net Profit/Loss for the group 197678022 22996391 174681631 759.60 17 Profit/Loss brought forward 83283999 -99411994 16127995 16.22 18 Total 114394023 -76415603 190809626 -249.70 19 Appropriations 20 Transfer to Statutory Reserves 45381761 3860590 41521171 1075.51 21 Transfer to Other Reserves 82549135 2437958 80111177 3285.99 22 Tax on Dividend 80552 569848 -489296 -85.86 23 Balance carried over to Balance sheet 13617425 83283999 69666574 -83.65 24 Total 114394023 76415603 190809626 -249.70 25 Basic Earnings per share 22.15 2.58 19.57 758.53 26 Diluted Earnings per share 22.15 2.58 19.57 758.53 27
