商业银行经营学Chapter 05.pptVIP

Chapter Five The Financial Statements of Banks and Their Principal Competitors Bank Financial Statements Report of Condition – Balance Sheet Report of Income – Income Statement Report of Condition The Balance Sheet of a Bank Showing its Assets, Liabilities and Net Worth C + S + L + MA = D + NDB + EC C = Cash Assets S = Security Holdings L = Loans MA = Miscellaneous Assets D = Deposits NDB = Nondeposit Borrowings EC = Equity Capital Cash Assets Account is Called Cash and Deposits Due from Bank Includes: Vault Cash Deposits with Other Banks (Correspondent Deposits) Cash Items in Process of Collection Reserve Account with the Federal Reserve Sometimes Called Primary Reserves Securities: The Liquid Portion Often Called Secondary Reserves Include: Short Term Government Securities Privately Issued Money Market Securities Interest Bearing Time Deposits Commercial Paper Investment Securities These are the Income Generating Portion of Securities Taxable Securities U.S. Government Notes Government Agency Securities Corporate Bonds Tax-Exempt Securities Municipal Bonds Trading Account Assets Securities purchased for to Provide Short-Term Profits from Short-Term Price Movements When the Bank Acts as a Securities Dealer Valued at Market Federal Funds Sold and Reverse Repurchase Agreements A Type of Loan Account Generally Overnight Loans Federal Funds Sold - Funds Come from the Deposits at the Federal Reserve Reverse Repurchase Agreements – Bank Takes Temporary Title to Securities Owned by Borrower Loan Accounts Gross Loans – Sum of All Loans Allowance for Possible Loan Losses Contra Asset Account For Potential Future Loan Losses Net Loans Unearned Discount Income Nonperforming Loans Types of Loans Commercial and Industrial Loans Consumer Loans (Loans to Individuals) Real Estate Loans Financial Institution Loans Foreign Loans Agriculture Production Loans Security Loans Leases Allowance for Loan Losses Beginning ALL + Provision for Loan Loss (Income Statement) = Adjus