Use the Excel file “25_US_Bank” and perform/answer following: A) Describe a typical bank in the US in terms of “Rev/Asset”, “Dep/Asset”, and “Asset/Empl”. Use descriptive statistics to respond by calculating mean, median, min, max, range, variance, standard deviation, skewness, and kurtosis. calculations must be done in Excel Characteristics of Selected U.S. Banks (n = 41) Branches Billions of Dollars Ratios Obs Name Year Ticker Charter Employees Domestic Foreign Assets Revenue Deposits Rev/Asset Dep/Asset Asset/Empl ($m) 1 JPMorgan Chase & Co 2019 JPM NAT 257,444 5034 33 2765.00 109.03 1458.76 0.0394 0.5276 10.74 2 Bank of America Corp 2018 BAC NAT 205,000 4339 27 2325.00 91.24 1345.65 0.0392 0.5788 11.34 3 Citigroup 2018 C NAT 204,000 702 172 1917.00 72.85 1005.18 0.0380 0.5244 9.40 4 Wells Fargo & Co 2018 WFC NAT 258,700 5585 12 1895.00 86.40 1266.59 0.0456 0.6684 7.33 5 Goldman Sachs Group Inc 2018 GS SMB 36,600 2 1 1000.00 36.62 151.52 0.0366 0.1515 27.32 6 Morgan Stanley 2018 MS NAT 60,348 0 0 853.53 40.11 175.19 0.0470 0.2053 14.14 7 U.S. Bancorp 2017 USB NAT 74,000 3048 1 488.00 22.06 331.18 0.0452 0.6786 6.59 8 PNC Financial Services Group Inc 2017 PNC NAT 52,906 2416 2 380.77 16.33 264.88 0.0429 0.6956 7.20 9 Capital One Financial Corp 2018 COF NAT 48,800 0 1 372.54 28.08 247.20 0.0754 0.6636 7.63 10 Bank of New York Mellon Corp 2018 BK SMB 51,300 2 15 362.87 16.39 231.59 0.0452 0.6382 7.07 11 Charles Schwab Group 2018 SCHW NAT 19,500 345 2 296.48 10.13 213.41 0.0342 0.7198 15.20 12 State Street Corp 2018 STT SMB 40,142 2 11 244.63 11.98 168.20 0.0490 0.6876 6.09 13 Truist Financial Corp (BB&T Corp) 2018 BBT SNM 37,000 1871 1 225.70 11.65 154.56 0.0516 0.6848 6.10 14 SunTrust Banks Inc 2018 STI SMB 22,899 1163 0 216.00 9.00 160.38 0.0417 0.7425 9.43 15 American Express Corp 2018 AXP NAT 59,000 0 0 188.60 36.99 69.30 0.1961 0.3674 3.20 16 Ally Financial Inc 2018 ALLY SMB 8,200 0 0 178.87 5.79 101.38 0.0324 0.5668 21.81 17 MUFG Americas Holding Company 2018 MUFG NAT 12,141 349 0 160.53 5.48 90.98 0.0341 0.5667 13.22 18 Citizens Financial Group 2018 CFG NAT 18,000 1104 1 160.52 6.13 117.08 0.0382 0.7294 8.92 19 Fifth Third Bancorp 2018 FITB SMB 18,125 1138 1 146.07 6.95 108.88 0.0476 0.7454 8.06 20 KeyCorp (KeyBank) 2017 KEY NAT 17,999 1179 0 137.70 6.87 105.78 0.0499 0.7682 7.65 21 Northern Trust Corp 2018 NTRS SMB 18,800 56 5 132.21 5.96 104.89 0.0451 0.7934 7.03 22 Regions Financial Corp 2018 RF SMB 19,969 1453 0 126.69 6.76 93.26 0.0534 0.7361 6.34 23 M&T Bank Corp 2017 MTB SMB 16,354 787 2 118.59 6.02 89.14 0.0508 0.7517 7.25 24 Huntington Bancshares Inc 2017 HBAN NAT 14,511 948 0 104.19 4.35 81.69 0.0418 0.7840 7.18 25 First Republic Bank 2018 FRC SNM 5,350 72 0 99.21 3.04 74.76 0.0306 0.7536 18.54 26 Discover Financial Services 2016 DFS SNM 15,549 0 0 92.31 2.39 63.67 0.0259 0.6897 5.94 27 BBVA Compass Bancshares Inc 2018 CBSS SMB 10,045 640 0 90.06 3.70 70.38 0.0411 0.7815 8.97 28 Comerica Inc 2017 CMA SMB 8190 436 1 71.57 3.60 56.01 0.0503 0.7826 8.74 29 Zions Bancorp 2017 ZION NAT 1,600 434 0 66.29 2.61 53.79 0.0394 0.8114 41.43 30 SVB Financial Group 2018 SIVB SMB 2,438 4 1 56.93 2.72 49.33 0.0478 0.8665 23.35 31 New York Community Bancorp Inc 2018 NYCB NAT 3,096 225 0 51.90 1.78 30.32 0.0343 0.5842 16.76 32 CIT Group Inc 2019 CIT NAT 3,678 63 0 50.78 2.29 30.83 0.0451 0.6071 13.81 33 Signature Bank 2018 SBNY SNM 1,415 7 0 49.41 1.73 36.09 0.0350 0.7304 34.92 34 People's United Financial Inc 2018 PBCT NAT 5,188 407 0 47.88 1.26 36.16 0.0263 0.7552 9.23 35 First Horizon National Corp 2018 FHN NAT 5,577 299 0 40.83 2.27 31.01 0.0556 0.7595 7.32 36 Synovus Financial Corp 2018 SNV SMB 4,651 299 0 32.67 1.62 26.72 0.0496 0.8179 7.02 37 Hancock Whitney Bank Corp 2017 HWC SNM 3,887 196 0 27.34 1.17 23.15 0.0428 0.8467 7.03 38 Texas Capital Bank 2018 TCBI NAT 1,564 11 0 28.30 0.99 20.61 0.0350 0.7283 18.09 39 Pacific Western Bank 2018 PACW SNM 1,669 74 0 25.73 1.16 18.87 0.0451 0.7334 15.42 40 Pinnacle Bank 2018 PNFP SNM 2,297 113 0 25.03 1.15 19.70 0.0459 0.7871 10.90 41 Commerce Bank 2018 CBSH SMB 4,869 168 0 23.50 1.33 20.32 0.0566 0.8647 4.83
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
Use the Excel file “25_US_Bank” and perform/answer following:
A) Describe a typical bank in the US in terms of “Rev/Asset”, “Dep/Asset”, and “Asset/Empl”. Use
calculations must be done in Excel
Characteristics of Selected U.S. Banks (n = 41) | |||||||||||||
Branches | Billions of Dollars | Ratios | |||||||||||
Obs | Name | Year | Ticker | Charter | Employees | Domestic | Foreign | Assets | Revenue | Deposits | Rev/Asset | Dep/Asset | Asset/Empl ($m) |
1 | JPMorgan Chase & Co | 2019 | JPM | NAT | 257,444 | 5034 | 33 | 2765.00 | 109.03 | 1458.76 | 0.0394 | 0.5276 | 10.74 |
2 | Bank of America Corp | 2018 | BAC | NAT | 205,000 | 4339 | 27 | 2325.00 | 91.24 | 1345.65 | 0.0392 | 0.5788 | 11.34 |
3 | Citigroup | 2018 | C | NAT | 204,000 | 702 | 172 | 1917.00 | 72.85 | 1005.18 | 0.0380 | 0.5244 | 9.40 |
4 | Wells Fargo & Co | 2018 | WFC | NAT | 258,700 | 5585 | 12 | 1895.00 | 86.40 | 1266.59 | 0.0456 | 0.6684 | 7.33 |
5 | Goldman Sachs Group Inc | 2018 | GS | SMB | 36,600 | 2 | 1 | 1000.00 | 36.62 | 151.52 | 0.0366 | 0.1515 | 27.32 |
6 | Morgan Stanley | 2018 | MS | NAT | 60,348 | 0 | 0 | 853.53 | 40.11 | 175.19 | 0.0470 | 0.2053 | 14.14 |
7 | U.S. Bancorp | 2017 | USB | NAT | 74,000 | 3048 | 1 | 488.00 | 22.06 | 331.18 | 0.0452 | 0.6786 | 6.59 |
8 | PNC Financial Services Group Inc | 2017 | PNC | NAT | 52,906 | 2416 | 2 | 380.77 | 16.33 | 264.88 | 0.0429 | 0.6956 | 7.20 |
9 | Capital One Financial Corp | 2018 | COF | NAT | 48,800 | 0 | 1 | 372.54 | 28.08 | 247.20 | 0.0754 | 0.6636 | 7.63 |
10 | Bank of New York Mellon Corp | 2018 | BK | SMB | 51,300 | 2 | 15 | 362.87 | 16.39 | 231.59 | 0.0452 | 0.6382 | 7.07 |
11 | Charles Schwab Group | 2018 | SCHW | NAT | 19,500 | 345 | 2 | 296.48 | 10.13 | 213.41 | 0.0342 | 0.7198 | 15.20 |
12 | State Street Corp | 2018 | STT | SMB | 40,142 | 2 | 11 | 244.63 | 11.98 | 168.20 | 0.0490 | 0.6876 | 6.09 |
13 | Truist Financial Corp (BB&T Corp) | 2018 | BBT | SNM | 37,000 | 1871 | 1 | 225.70 | 11.65 | 154.56 | 0.0516 | 0.6848 | 6.10 |
14 | SunTrust Banks Inc | 2018 | STI | SMB | 22,899 | 1163 | 0 | 216.00 | 9.00 | 160.38 | 0.0417 | 0.7425 | 9.43 |
15 | American Express Corp | 2018 | AXP | NAT | 59,000 | 0 | 0 | 188.60 | 36.99 | 69.30 | 0.1961 | 0.3674 | 3.20 |
16 | Ally Financial Inc | 2018 | ALLY | SMB | 8,200 | 0 | 0 | 178.87 | 5.79 | 101.38 | 0.0324 | 0.5668 | 21.81 |
17 | MUFG Americas Holding Company | 2018 | MUFG | NAT | 12,141 | 349 | 0 | 160.53 | 5.48 | 90.98 | 0.0341 | 0.5667 | 13.22 |
18 | Citizens Financial Group | 2018 | CFG | NAT | 18,000 | 1104 | 1 | 160.52 | 6.13 | 117.08 | 0.0382 | 0.7294 | 8.92 |
19 | Fifth Third Bancorp | 2018 | FITB | SMB | 18,125 | 1138 | 1 | 146.07 | 6.95 | 108.88 | 0.0476 | 0.7454 | 8.06 |
20 | KeyCorp (KeyBank) | 2017 | KEY | NAT | 17,999 | 1179 | 0 | 137.70 | 6.87 | 105.78 | 0.0499 | 0.7682 | 7.65 |
21 | Northern Trust Corp | 2018 | NTRS | SMB | 18,800 | 56 | 5 | 132.21 | 5.96 | 104.89 | 0.0451 | 0.7934 | 7.03 |
22 | Regions Financial Corp | 2018 | RF | SMB | 19,969 | 1453 | 0 | 126.69 | 6.76 | 93.26 | 0.0534 | 0.7361 | 6.34 |
23 | M&T Bank Corp | 2017 | MTB | SMB | 16,354 | 787 | 2 | 118.59 | 6.02 | 89.14 | 0.0508 | 0.7517 | 7.25 |
24 | Huntington Bancshares Inc | 2017 | HBAN | NAT | 14,511 | 948 | 0 | 104.19 | 4.35 | 81.69 | 0.0418 | 0.7840 | 7.18 |
25 | First Republic Bank | 2018 | FRC | SNM | 5,350 | 72 | 0 | 99.21 | 3.04 | 74.76 | 0.0306 | 0.7536 | 18.54 |
26 | Discover Financial Services | 2016 | DFS | SNM | 15,549 | 0 | 0 | 92.31 | 2.39 | 63.67 | 0.0259 | 0.6897 | 5.94 |
27 | BBVA Compass Bancshares Inc | 2018 | CBSS | SMB | 10,045 | 640 | 0 | 90.06 | 3.70 | 70.38 | 0.0411 | 0.7815 | 8.97 |
28 | Comerica Inc | 2017 | CMA | SMB | 8190 | 436 | 1 | 71.57 | 3.60 | 56.01 | 0.0503 | 0.7826 | 8.74 |
29 | Zions Bancorp | 2017 | ZION | NAT | 1,600 | 434 | 0 | 66.29 | 2.61 | 53.79 | 0.0394 | 0.8114 | 41.43 |
30 | SVB Financial Group | 2018 | SIVB | SMB | 2,438 | 4 | 1 | 56.93 | 2.72 | 49.33 | 0.0478 | 0.8665 | 23.35 |
31 | New York Community Bancorp Inc | 2018 | NYCB | NAT | 3,096 | 225 | 0 | 51.90 | 1.78 | 30.32 | 0.0343 | 0.5842 | 16.76 |
32 | CIT Group Inc | 2019 | CIT | NAT | 3,678 | 63 | 0 | 50.78 | 2.29 | 30.83 | 0.0451 | 0.6071 | 13.81 |
33 | Signature Bank | 2018 | SBNY | SNM | 1,415 | 7 | 0 | 49.41 | 1.73 | 36.09 | 0.0350 | 0.7304 | 34.92 |
34 | People's United Financial Inc | 2018 | PBCT | NAT | 5,188 | 407 | 0 | 47.88 | 1.26 | 36.16 | 0.0263 | 0.7552 | 9.23 |
35 | First Horizon National Corp | 2018 | FHN | NAT | 5,577 | 299 | 0 | 40.83 | 2.27 | 31.01 | 0.0556 | 0.7595 | 7.32 |
36 | Synovus Financial Corp | 2018 | SNV | SMB | 4,651 | 299 | 0 | 32.67 | 1.62 | 26.72 | 0.0496 | 0.8179 | 7.02 |
37 | Hancock Whitney Bank Corp | 2017 | HWC | SNM | 3,887 | 196 | 0 | 27.34 | 1.17 | 23.15 | 0.0428 | 0.8467 | 7.03 |
38 | Texas Capital Bank | 2018 | TCBI | NAT | 1,564 | 11 | 0 | 28.30 | 0.99 | 20.61 | 0.0350 | 0.7283 | 18.09 |
39 | Pacific Western Bank | 2018 | PACW | SNM | 1,669 | 74 | 0 | 25.73 | 1.16 | 18.87 | 0.0451 | 0.7334 | 15.42 |
40 | Pinnacle Bank | 2018 | PNFP | SNM | 2,297 | 113 | 0 | 25.03 | 1.15 | 19.70 | 0.0459 | 0.7871 | 10.90 |
41 | Commerce Bank | 2018 | CBSH | SMB | 4,869 | 168 | 0 | 23.50 | 1.33 | 20.32 | 0.0566 | 0.8647 | 4.83 |
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