ACCOUNTING FOR MANAGERS

(COURSE CODE: 21MBA111)

ASSIGNMENT - 1

Submitted by

OMKIRAN H
Batch B
MBA (2023-25)

Submitted To
Dr. MOHAMMED IQBAL M
Assistant Professor

SAINTGITS College of Engineering (Autonomous), Department of MBA

APJ Abdul Kalam Technological University,

Kottukulam Hills, Pathamuttom,

Kottayam-686532, Kerala
ICICI Bank & Union Bank
Comparative Statement - Union Bank
Balance Sheet
Particulars 2019 2020 Absolute Value Percentage 2020 2021 Absolute Value Percentage

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS

Equity Share Capital 1763.02 3422.82 1659.8 94.15% 3422.82 6406.84 2984.02 87.18%

TOTAL SHARE CAPITAL 1763.02 3526.82 1763.8 100.04% 3526.82 6510.85 2984.03 84.61%

Revaluation Reserve 2234.81 3174.15 939.34 42.03% 3174.15 4898.48 1724.33 54.32%

Reserves and Surplus 1763.02 3526.82 1763.8 100.04% 3526.82 6510.85 2984.03 84.61%

TOTAL RESERVES AND SURPLUS 24968.63 30462.58 5493.95 22.00% 30462.58 58226.93 27764.35 91.14%

TOTAL SHAREHOLDERS FUNDS 22733.82 27288.43 4554.61 20.03% 27288.43 53328.45 26040.02 95.43%

Minority Interest

Deposits 417504.81 452436.15 34931.34 8.37% 452436.15 925653.93 473217.78 104.59%

Borrowings 43275.6 52714.06 9438.46 21.81% 52714.06 51922.23 -791.83 -1.50%

Other Liabilities and Provisions 10964.48 16369.45 5404.97 49.30% 16369.45 40063.46 23694.01 144.75%

TOTAL CAPITAL AND LIABILITIES 498580.53 555509.05 56928.52 11.42% 555509.05 1082377.39 526868.34 94.84%

ASSETS

Cash and Balances with Reserve Bank of India 20800.4 20118.92 -681.48 -3.28% 20118.92 37885.71 17766.79 88.31%

Balances with Banks Money at Call and Short Notice 22362.68 35129.87 12767.19 57.09% 35129.87 46877.62 11747.75 33.44%

Investments 128391.21 154251.49 25860.28 20.14% 154251.49 339058.51 184807.02 119.81%

Advances 298780.1 317677.43 18897.33 6.32% 317677.43 593320.08 275642.65 86.77%

Fixed Assets 3774.46 4775.5 1001.04 26.52% 4775.5 7366.42 2590.92 54.25%

Other Assets 24471.69 23555.84 -915.85 -3.74% 23555.84 57869.05 34313.21 145.67%

TOTAL ASSETS 498580.53 555509.05 56928.52 11.42% 555509.05 1082377.39 526868.34 94.84%

Profit and Loss Account

Particulars 2019 2020 Absolute Value Percentage 2020 2021 Absolute Value Percentage
INCOME
Interest / Discount on Advances / Bills 23,771.92 25,078.70 1,306.78 5.50% 25,078.70 45,765.84 20,687.14 82.49%
Income from Investments 9,003.34 10,572.86 1,569.52 17.43% 10,572.86 20,573.70 10,000.84 94.59%
Interest on Balance with RBI and Other Inter-Bank funds 1,201.27 1,200.28 -0.99 -0.08% 1,200.28 2,113.22 912.94 76.06%
Others 90.12 379.28 289.16 320.86% 379.28 314.58 -64.70 -17.06%
TOTAL INTEREST EARNED 34,066.66 37,231.12 3,164.46 9.29% 37,231.12 68,767.33 31,536.21 84.70%
Other Income 4,473.95 5,260.79 786.84 17.59% 5,260.79 11,336.85 6,076.06 115.50%
TOTAL INCOME 38,540.61 42,491.91 3,951.30 10.25% 42,491.91 80,104.19 37,612.28 88.52%
EXPENDITURE 0.00
Interest Expended 23,851.75 25,794.37 1,942.62 8.14% 25,794.37 44,078.91 18,284.54 70.89%
Payments to and Provisions for Employees 3,150.93 3,358.62 207.69 6.59% 3,358.62 9,024.90 5,666.28 168.71%
Depreciation 368.04 411.26 43.22 11.74% 411.26 895.23 483.97 117.68%
Operating Expenses (excludes Employee Cost & Depreciatio 3,648.66 3,746.54 97.88 2.68% 3,746.54 6,845.86 3,099.32 82.72%
TOTAL OPERATING EXPENSES 7,167.63 7,516.41 348.78 4.87% 7,516.41 16,765.99 9,249.58 123.06%
Provision Towards Income Tax -979.21 -1,129.85 -150.64 15.38% -1,129.85 -506.55 623.30 -55.17%
Provision Towards Deferred Tax
Other Provisions and Contingencies 11,447.89 13,208.75 1,760.86 15.38% 13,208.75 16,859.87 3,651.12 27.64%
TOTAL PROVISIONS AND CONTINGENCIES 10,468.68 12,078.90 1,610.22 15.38% 12,078.90 16,353.32 4,274.42 35.39%
TOTAL EXPENDITURE 41,488.05 45,389.69 3,901.64 9.40% 45,389.69 77,198.22 31,808.53 70.08%
NET PROFIT / LOSS FOR THE YEAR -2,947.45 -2,897.78 49.67 -1.69% -2,897.78 2,905.97 5,803.75 -200.28%
NET PROFIT / LOSS AFTER EI & PRIOR YEAR ITEMS -2,947.45 -2,897.78 49.67 -1.69% -2,897.78 2,905.97 5,803.75 -200.28%
Common Size Statement - Union Bank

Balance Sheet
Particulars 2019 Percentage 2020 Percentage 2021 Percentage
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 1763.02 0.354% 3422.82 0.616% 6406.84 0.592%
TOTAL SHARE CAPITAL 1763.02 0.354% 3526.82 0.635% 6510.85 0.602%
Revaluation Reserve 2234.81 0.448% 3174.15 0.571% 4898.48 0.453%
Reserves and Surplus 1763.02 0.354% 3526.82 0.635% 6510.85 0.602%
TOTAL RESERVES AND SURPLUS 24968.63 5.008% 30462.58 5.484% 58226.93 5.380%
TOTAL SHAREHOLDERS FUNDS 22733.82 4.560% 27288.43 4.912% 53328.45 4.927%
Minority Interest
Deposits 417504.81 83.739% 452436.15 81.445% 925653.93 85.520%
Borrowings 43275.6 8.680% 52714.06 9.489% 51922.23 4.797%
Other Liabilities and Provisions 10964.48 2.199% 16369.45 2.947% 40063.46 3.701%
TOTAL CAPITAL AND LIABILITIES 498580.53 100.000% 555509.05 100.000% 1082377.39 100.000%
ASSETS
Cash and Balances with Reserve Bank of India 20800.4 4.172% 20118.92 3.622% 37885.71 3.500%
Balances with Banks Money at Call and Short Notice 22362.68 4.485% 35129.87 6.324% 46877.62 4.331%
Investments 128391.21 25.751% 154251.49 27.768% 339058.51 31.325%
Advances 298780.1 59.926% 317677.43 57.187% 593320.08 54.816%
Fixed Assets 3774.46 0.757% 4775.5 0.860% 7366.42 0.681%
Other Assets 24471.69 4.908% 23555.84 4.240% 57869.05 5.346%
TOTAL ASSETS 498580.53 100.000% 555509.05 100.000% 1082377.39 100.000%

Profit and Loss Account

Particulars 2019 Percentage 2020 Percentage 2021 Percentage

INCOME
Interest / Discount on Advances / Bills 23,771.92 61.68% 25,078.70 59.02% 45,765.84 57.13%
Income from Investments 9,003.34 23.36% 10,572.86 24.88% 20,573.70 25.68%
Interest on Balance with RBI and Other Inter-Bank funds 1,201.27 3.12% 1,200.28 2.82% 2,113.22 2.64%
Others 90.12 0.23% 379.28 0.89% 314.58 0.39%
TOTAL INTEREST EARNED 34,066.66 88.39% 37,231.12 87.62% 68,767.33 85.85%
Other Income 4,473.95 11.61% 5,260.79 12.38% 11,336.85 14.15%
TOTAL INCOME 38,540.61 100.00% 42,491.91 100.00% 80,104.19 100.00%
EXPENDITURE
Interest Expended 23,851.75 61.89% 25,794.37 60.70% 44,078.91 55.03%
Payments to and Provisions for Employees 3,150.93 8.18% 3,358.62 7.90% 9,024.90 11.27%
Depreciation 368.04 0.95% 411.26 0.97% 895.23 1.12%
Operating Expenses (excludes Employee Cost & Depreciation) 3,648.66 9.47% 3,746.54 8.82% 6,845.86 8.55%
TOTAL OPERATING EXPENSES 7,167.63 18.60% 7,516.41 17.69% 16,765.99 20.93%
Provision Towards Income Tax -979.21 -2.54% -1,129.85 -2.66% -506.55 -0.63%
Provision Towards Deferred Tax
Other Provisions and Contingencies 11,447.89 29.70% 13,208.75 31.09% 16,859.87 21.05%
TOTAL PROVISIONS AND CONTINGENCIES 10,468.68 27.16% 12,078.90 28.43% 16,353.32 20.42%
TOTAL EXPENDITURE 41,488.05 107.65% 45,389.69 106.82% 77,198.22 96.37%
NET PROFIT / LOSS FOR THE YEAR -2,947.45 -7.65% -2,897.78 -6.82% 2,905.97 3.63%
NET PROFIT / LOSS AFTER EI & PRIOR YEAR ITEMS -2,947.45 -7.65% -2,897.78 -6.82% 2,905.97 3.63%
Interpretation – Union Bank

The Comparative Statement of Union Bank Balance Sheet shows significant growth in all major categories of
assets and liabilities from 2019 to 2021.

• Advances increased by 86.77% from 2019 to 2021. This growth was driven by strong demand for
credit from businesses and consumers.
• Investments increased by 20.14% from 2019 to 2021. This growth was driven by a number of factors,
including the purchase of government securities and corporate bonds.
• Cash and balances with Reserve Bank of India increased by 88.31% from 2019 to 2021. This growth
reflects the bank's efforts to maintain a strong liquidity position.
• The growth in assets was accompanied by a corresponding increase in liabilities. Total capital and
liabilities increased by 94.84% from 2019 to 2021.

• Deposits increased by 87.85% from 2019 to 2021. This growth was driven by strong customer
demand for deposit products.
• Borrowings increased by 47.51% from 2019 to 2021. This growth was driven by the bank's need to
fund its loan growth and investment activity.

The Profit/Loss for the year increased from -2947.45 in 2019 to 2905.97 in 2021.

• Interest income increased by 82.49% from 2019 to 2021. This growth was driven by the bank's strong
loan growth and higher interest rates.
• Interest expense increased by 70.89% from 2019 to 2021. However, this growth was more than
offset by the bank's higher interest income.
• Operating expenses increased by 2.68% from 2019 to 2021. This growth was slower than the growth
in revenue, which resulted in a higher profit margin.

Overall, the Comparative Statement of Union Bank Balance Sheet shows a strong performance by the bank
in recent years.
Comparative Statement - ICICI
Balance Sheet
Particulars 2019 2020 Absolute Value Percentage 2020 2021 Absolute Value Percentage

SHAREHOLDER'S FUNDS

Equity Share Capital 1289.46 1294.76 5.3 0.41% 1294.76 1383.41 88.65 6.85%

TOTAL SHARE CAPITAL 1289.46 1294.76 5.3 0.41% 1294.76 1383.41 88.65 6.85%

Revaluation Reserve 3070 3143.36 73.36 2.39% 3143.36 3125.28 -18.08 -0.58%

Reserves and Surplus 1289.46 1294.76 5.3 0.41% 1294.76 1383.41 88.65 6.85%

TOTAL RESERVES AND SURPLUS 112959.27 121661.81 8702.54 7.70% 121661.81 156200.99 34539.18 28.39%

TOTAL SHAREHOLDERS FUNDS 109889.27 118518.45 8629.18 7.85% 118518.45 153075.71 34557.26 29.16%

Minority Interest 6580.54 6794.77 214.23 3.26% 6794.77 9588.34 2793.57 41.11%

Deposits 681316.94 800784.46 119467.52 17.53% 800784.46 959940.02 159155.56 19.87%

Borrowings 210324.12 213851.78 3527.66 1.68% 213851.78 143899.94 -69951.84 -32.71%

Other Liabilities and Provisions 73940.14 87414.91 13474.77 18.22% 87414.91 99616.41 12201.5 13.96%

TOTAL CAPITAL AND LIABILITIES 1238793.89 1377292.23 138498.34 11.18% 1377292.23 1573812.24 196520.01 14.27%

ASSETS

Cash and Balances with Reserve Bank of India 38066.28 35311.93 -2754.35 -7.24% 35311.93 46302.2 10990.27 31.12%

Balances with Banks Money at Call and Short Notice 49324.62 92540.99 43216.37 87.62% 92540.99 101268.33 8727.34 9.43%

Investments 398200.76 443472.63 45271.87 11.37% 443472.63 536578.62 93105.99 20.99%

Advances 646961.68 706246.11 59284.43 9.16% 706246.11 791801.39 85555.28 12.11%

Fixed Assets 9660.42 10408.66 748.24 7.75% 10408.66 10809.26 400.6 3.85%

Other Assets 96580.14 89311.91 -7268.23 -7.53% 89311.91 87052.45 -2259.46 -2.53%

TOTAL ASSETS 1238793.89 1377292.23 138498.34 11.18% 1377292.23 1573812.24 196520.01 14.27%

Profit and Loss Account

Particulars 2019 2020 Absolute Value Percentage 2020 2021 Absolute Value Percentage
INCOME
Interest / Discount on Advances / Bills 47942.62 57551.11 9608.49 20.04% 57551.11 57288.81 -262.3 -0.46%
Income from Investments 12796.88 14673.21 1876.33 14.66% 14673.21 16539.78 1866.57 12.72%
Interest on Balance with RBI and Other Inter-Bank funds 736.09 682.15 -53.94 -7.33% 682.15 1631.91 949.76 139.23%
Others 1925.6 1891.85 -33.75 -1.75% 1891.85 3657.77 1765.92 93.34%
TOTAL INTEREST EARNED 63401.19 74798.32 11397.13 17.98% 74798.32 79118.27 4319.95 5.78%
Other Income 14512.16 16448.62 1936.46 13.34% 16448.62 18968.53 2519.91 15.32%
TOTAL INCOME 77913.36 91246.94 13333.58 17.11% 91246.94 98086.8 6839.86 7.50%
EXPENDITURE
Interest Expended 36386.4 41531.25 5144.85 14.14% 41531.25 40128.84 -1402.41 -3.38%
Payments to and Provisions for Employees 6808.24 8271.24 1463 21.49% 8271.24 8091.78 -179.46 -2.17%
Depreciation 776.91 947.12 170.21 21.91% 947.12 1058.4 111.28 11.75%
Operating Expenses (excludes Employee Cost & Depreciation) 10503.91 12394.63 1890.72 18.00% 12394.63 12397.26 2.63 0.02%
TOTAL OPERATING EXPENSES 18089.06 21614.41 3525.35 19.49% 21614.41 21560.83 -53.58 -0.25%
Provision Towards Income Tax 3360.6 3746.03 385.43 11.47% 3746.03 4665.66 919.63 24.55%
Provision Towards Deferred Tax -2947.14 2371.2 5318.34 -180.46% 2371.2 -675.62 -3046.82 -128.49%
Other Provisions and Contingencies 19661.14 14053.23 -5607.91 -28.52% 14053.23 16214.4 2161.17 15.38%
TOTAL PROVISIONS AND CONTINGENCIES 20074.6 20170.46 95.86 0.48% 20170.46 20204.44 33.98 0.17%
TOTAL EXPENDITURE 74550.05 83316.13 8766.08 11.76% 83316.13 81894.11 -1422.02 -1.71%
NET PROFIT / LOSS FOR THE YEAR 3363.3 7930.81 4567.51 135.80% 7930.81 16192.68 8261.87 104.17%
NET PROFIT / LOSS AFTER EI & PRIOR YEAR ITEMS 3363.3 7930.81 4567.51 135.80% 7930.81 16192.68 8261.87 104.17%
Common Size Statement - ICICI Bank

Balance Sheet
Particulars 2019 Percentage 2020 Percentage 2021 Percentage

SHAREHOLDER'S FUNDS
Equity Share Capital 1289.46 0.10% 1294.76 0.09% 1383.41 0.09%
TOTAL SHARE CAPITAL 1289.46 0.10% 1294.76 0.09% 1383.41 0.09%
Revaluation Reserve 3070 0.25% 3143.36 0.23% 3125.28 0.20%
Reserves and Surplus 1289.46 0.10% 1294.76 0.09% 1383.41 0.09%
TOTAL RESERVES AND SURPLUS 112959.27 9.12% 121661.81 8.83% 156200.99 9.93%
TOTAL SHAREHOLDERS FUNDS 109889.27 8.87% 118518.45 8.61% 153075.71 9.73%
Minority Interest 6580.54 0.53% 6794.77 0.49% 9588.34 0.61%
Deposits 681316.94 55.00% 800784.46 58.14% 959940.02 60.99%
Borrowings 210324.12 16.98% 213851.78 15.53% 143899.94 9.14%
Other Liabilities and Provisions 73940.14 5.97% 87414.91 6.35% 99616.41 6.33%
TOTAL CAPITAL AND LIABILITIES 1238793.89 100.00% 1377292.23 100.00% 1573812.24 100.00%
ASSETS
Cash and Balances with Reserve Bank of India 38066.28 3.07% 35311.93 2.56% 46302.2 2.94%
Balances with Banks Money at Call and Short Notice 49324.62 3.98% 92540.99 6.72% 101268.33 6.43%
Investments 398200.76 32.14% 443472.63 32.20% 536578.62 34.09%
Advances 646961.68 52.23% 706246.11 51.28% 791801.39 50.31%
Fixed Assets 9660.42 0.78% 10408.66 0.76% 10809.26 0.69%
Other Assets 96580.14 7.80% 89311.91 6.48% 87052.45 5.53%
TOTAL ASSETS 1238793.89 100.00% 1377292.23 100.00% 1573812.24 100.00%

Profit and Loss Account

Particulars 2019 Percentage 2020 Percentage 2021 Percentage

INCOME
Interest / Discount on Advances / Bills 47942.62 61.53% 57551.11 63.07% 57288.81 58.41%
Income from Investments 12796.88 16.42% 14673.21 16.08% 16539.78 16.86%
Interest on Balance with RBI and Other Inter-Bank funds 736.09 0.94% 682.15 0.75% 1631.91 1.66%
Others 1925.6 2.47% 1891.85 2.07% 3657.77 3.73%
TOTAL INTEREST EARNED 63401.19 81.37% 74798.32 81.97% 79118.27 80.66%
Other Income 14512.16 18.63% 16448.62 18.03% 18968.53 19.34%
TOTAL INCOME 77913.36 100.00% 91246.94 100.00% 98086.8 100.00%
EXPENDITURE
Interest Expended 36386.4 46.70% 41531.25 45.52% 40128.84 40.91%
Payments to and Provisions for Employees 6808.24 8.74% 8271.24 9.06% 8091.78 8.25%
Depreciation 776.91 1.00% 947.12 1.04% 1058.4 1.08%
Operating Expenses (excludes Employee Cost & Depreciatio 10503.91 13.48% 12394.63 13.58% 12397.26 12.64%
TOTAL OPERATING EXPENSES 18089.06 23.22% 21614.41 23.69% 21560.83 21.98%
Provision Towards Income Tax 3360.6 4.31% 3746.03 4.11% 4665.66 4.76%
Provision Towards Deferred Tax -2947.14 -3.78% 2371.2 2.60% -675.62 -0.69%
Other Provisions and Contingencies 19661.14 25.23% 14053.23 15.40% 16214.4 16.53%
TOTAL PROVISIONS AND CONTINGENCIES 20074.6 25.77% 20170.46 22.11% 20204.44 20.60%
TOTAL EXPENDITURE 74550.05 95.68% 83316.13 91.31% 81894.11 83.49%
NET PROFIT / LOSS FOR THE YEAR 3363.3 4.32% 7930.81 8.69% 16192.68 16.51%
NET PROFIT / LOSS AFTER EI & PRIOR YEAR ITEMS 3363.3 4.32% 7930.81 8.69% 16192.68 16.51%
Interpretation – ICICI Bank

The Comparative Statement of ICICI Bank shows moderate growth in all major categories of assets and
liabilities from 2019 to 2021. The Profit/Loss for the year also increased significantly in 2021.

• Advances increased by 12.11% from 2019 to 2021. This growth was driven by strong demand for
credit from businesses and consumers. However, the rate of loan growth was slower than the
rate of growth in total assets. This suggests that the bank is becoming more diversified in terms
of its asset composition.
• Investments increased by 20.99% from 2019 to 2021. This growth was driven by a number of
factors, including the purchase of government securities and corporate bonds. The increase in
investments also helped to offset the slower growth in loan growth.
• Cash and balances with Reserve Bank of India increased by 31.12% from 2019 to 2021. Balances
with Banks Money at Call and Short Notice increased by 87.24% from 2019 to 2021. This increase
in cash and liquid assets reflects the bank's efforts to maintain a strong liquidity position.
• Borrowings increased by 60.99% from 2019 to 2021. This growth was driven by the bank's need
to fund its loan growth and investment activity. However, the rate of growth in borrowings was
slower than the rate of growth in total liabilities. This suggests that the bank is becoming more
equity-financed.

The Profit/Loss for the year increased from ₹3363.3 crores in 2019 to ₹16192.68 crores in 2021.

• Interest income increased by 17.98% from 2019 to 2021. This growth was driven by the bank's strong
loan growth and higher interest rates.
• Interest expense increased by 19.49% from 2019 to 2021. However, this growth was more than
offset by the bank's higher interest income.
• Operating expenses increased by 2.68% from 2019 to 2021. This growth was slower than the growth
in revenue, which resulted in a higher profit margin.

The Comparative Statement of ICICI Bank Balance Sheet shows a solid performance by the bank in recent
years. The bank has grown its assets, liabilities, and profits significantly. This growth has been driven by
strong loan growth, investment activity, and cash management. The bank has also benefited from a
decrease in borrowings and lower operating expenses.