Financial Institutions Management Sample Examination

1217 WordsJul 24, 20125 Pages
FIN3FIM Financial Institutions Management Sample Examination Solutions FIN3FIM Financial Institutions Management 1 Sample Examination 3 The following information, and Questions 1, 2 and 3 below, relate to Chartwell Banking Corporation for the year ending 31 December 2007. Profit and Loss Statement for the period 1 January to 31 December 2007 $m 48.0 12.0 60.0 31.0 17.0 48.0 12.0 4.2 7.8 Interest Revenue Non-interest Revenue Total Operating Revenue Interest Expense Non-interest Expense Total Operating Expenses Operating Profit before Tax Income Tax (35%) Operating Profit after Tax Balance Sheet as at 31 December 2007 Assets Cash Treasury Notes Commercial Paper Certificates of Deposit Treasury Bonds Corporate Bonds…show more content…
The total amount of capital required is equal to: 1046.45 × 8% = $83.716 million. FIN3FIM Financial Institutions Management 4 Sample Examination 3 Question 2 (a) Calculate the following ratios for Chartwell Banking Corporation. (i) (ii) (iii) Interest Margin Net Margin (after tax) Asset Utilisation (iv) (v) (vi) Return on Assets Leverage Multiplier Return on Equity Interest Margin Net Margin Asset utilisation Return on
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