The following are statistics from the annual report of Dover Bank
|
|
2007
|
2006
|
2005
|
|
Average earning assets
|
$50,000,000
|
$45,000,000
|
$43,000,000
|
|
Average total assets
|
58,823,529
|
54,216,867
|
52,000,000
|
|
Income before securities transactions
|
530,000
|
453,000
|
420,000
|
|
Interest margin
|
2,550,000
|
2,200,000
|
2,020,000
|
|
Pretax income before securities transactions
|
562,000
|
480,500
|
440,000
|
|
Provision for loan losses
|
190,000
|
160,000
|
142,000
|
|
Net charge-offs
|
180,000
|
162,000
|
160,000
|
|
Average equity
|
4,117,600
|
3,524,000
|
3,120,000
|
|
Average net loans
|
32,500,000
|
26,000,000
|
22,500,000
|
|
Average deposits
|
52,500,000
|
42,500,000
|
37,857,000
|
Required:
a. Calculate the following for 2007, 2006, and 2005:
1. Earning assets to total assets
2. Interest margin to average earning assets
3. Loan loss coverage ratio
4. Equity to total assets
5. Deposits times capital
6. Loans to deposits
b. Comment on trends found in the ratios computed in (a).