Question: QUESTION 1 (30 Marks) Banking sector plays an important role in sustaining financial markets and has a significant impact on the success of the

QUESTION 1 (30 Marks) Banking sector plays an important role in sustainingfinancial markets and has a significant impact on the success of theeconomy. Sound financial health of a bank is the guarantee not only

QUESTION 1 (30 Marks) Banking sector plays an important role in sustaining financial markets and has a significant impact on the success of the economy. Sound financial health of a bank is the guarantee not only to its depositors but is equally significant for the shareholders, employees and whole economy as well. As a sequel to this maxim, efforts have been made from time to time, to measure the financial position of each bank and manage it efficiently and effectively (Din Sangm, 2010) Required: 1. Using the Mabuchi National bank financial statements below. Discuss and calculate the following performance measures for the year ended 2019. Compare ratios of Mabuchi National bank to average ratios of the other banks within the banking industry. 1.1. ROE 1.2. ROA 1.3. NIM = Net Interest Margin 1.4. NPM Net Profit Margin 1.5. AU = Asset Utilisation (6 Marks) (6 Marks) (6 Marks) (6 Marks) (6 Marks)

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