Liquidity and activity ratios
Browse the Accounting for Banking syllabus
Accounting for Banking
16 units
3 Accounting for Bills for Collection
4 Accounting for Guarantee and Margin Deposit
5 Letter of Credit (LC)
6 Accounting for Remittance
7 Accounting for Credit and Advances
8 Accounting for Cash Transactions
9 Accounting for Treasury Management
10 Banking Technology Products
11 Concept of BASEL Framework
12 Anti Money Laundering (AML)
13 Accounting for Decision Making
14 Preparation of Financial Statements
16 Project Work
What the syllabus expects
- Liquidity ratios:Net liquid assets, Net liquidity ratios, Statutory liquidity ratio (SLR), Cash reserve ratio (CRR), Gap analysis
- Activity ratios:Cost of fund, Base rate, Cost to income ratio, Credit deposit ratio, Net interest margin, Non-funded income as a percentage of total operating income, Operating expenses ratio (interest to total operating expense, office operating expense to total operating expenses and HR expenses to total operating expenses) Staff efficiency (per employee income, per employee business i.e. deposit plus loan)