Letter of Transmittal

31st August, 2008

To, Dr. Abdul Hannan Chowdhury Professor S hool of !us"ness #orth South $n"%ers"ty

Subject: Sub&"ss"on of the !us'()8 "nternsh"* re*ort on +!, red"t ards.

Dear Dr. Chowdhury,

Here "s the "nternsh"* re*ort you as-ed &e to *re*are as a *art of re.u"re&ent for our !us'()8 ourse.

After study"ng th"s re*ort, you w"ll understand how d"fferent %ar"ables w"ll stat"st" ally affe t the sales f"gure of red"t ards.

/f you should need any -"nd of ass"stan e "n understand"ng th"s re*ort, *lease do not hes"tate to onsult w"th &e.

S"n erely,

"

00000000000000 Tahsanul Hoque ID# 043 093 030

TA L! "# $"%T!%TS
2.0INTRODUCTION............................................................................................................... 1 2.0INTRODUCTION...............................................................................................................1 1.1Objectives of the Study...........................................................................................1 1.2Significance of the Study.........................................................................................1 1. !ethodo"ogy............................................................................................................1 1.#$i%itations of the Study.........................................................................................2 .0O&'R&I'( O) T*' +,N-............................................................................................ # +,N-............................................................................................# 1..*isto/y and +ac0g/ound of 'aste/n +an0 $i%ited.............................................# 1.1'+$2s &ision3............................................................................................................ 1.4'+$2s !ission3 ......................................................................................................1 1.56/esent +usiness 6hi"oso7hy3.................................................................................4 1.8!anage%ent ,s7ects3 ............................................................................................5 1.9.1Corporate Banking Division:....................................................................10 1.9.2Credit Risk Management and Administration:.........................................12 1.9.3Consumer Banking Division:...................................................................13 1.9.4Human Resour es Division:.....................................................................14 1.9.!Audit and Comp"ian e Division: .............................................................1#
""

1.9.#$inan e and A ounts Division:...............................................................1% 1.9.%&n'ormation (e )no"og* Division:...........................................................1% 1.9.+&nternationa" Division:..............................................................................1+ 1.9.9Administration:.........................................................................................19 #.0'+$ C,RDS...................................................................................................................... 21 C,RDS......................................................................................................................21 1.10Ty7es of C/edit Ca/ds.........................................................................................21 1.11)eatu/es of '+$ Si%7"e C/edit Ca/d................................................................21 1.12)ees 9 Cha/ges e:c"uding &,T; a"" in +DT.....................................................25 ..0ST,TISTIC,$ ,N,$<SIS............................................................................................. ,N,$<SIS............................................................................................. 1 1.1 Objectives of this 7a/t......................................................................................... 1 1.1#The &a/iab"es in %y ,na"ysis............................................................................. 2 1.1.Data Sheet............................................................................................................ 1.11+asic Desc/i7tive Statistics................................................................................. . 1.14=/a7hica" Re7/esentation of 'ach &a/iab"e..................................................... 1 1.15'sti%ation of 6o7u"ation !eans........................................................................#4 1.186ea/son 6/oduct>!o%ent Co//e"ation...............................................................1 1.19.1H*pot)esis (esting o' ,opu"ation Corre"ations......................................!+ 1.20!u"ti7"e $inea/ Reg/ession !ode"....................................................................11 1.20.1Mode" -ummar*.....................................................................................#2 1.20.2Dur.in/0atson (est...............................................................................#2 1.20.3Ana"*sis o' 1arian e 2A341A5............................................................#3 1.20.41a"idit* o' t)e Mode" .* using $/(est: .................................................#4 1.20.!Coe''i ients 265 o' &ndependent 1aria."es.............................................#! 1.20.#7nstandardi8ed Mu"tip"e 9inear Regression :;uation .e'ore -igni'i an e (est:.............................................................................................#! 1.20.%&nterpretation o' 7nstandardi8ed Beta Coe''i ients...............................#! 1.20.+-tandardi8ed Mu"tip"e 9inear Regression :;uation .e'ore -igni'i an e (est:..................................................................................................................#%
"""

1.20.9&nterpretation o' -tandardi8ed Beta Coe''i ients: .................................#% 1.20.10(/test 'or statisti a" signi'i an e o' individua" independent varia."es: ..........................................................................................................................#+ 1.20.117nstandardi8ed Mu"tip"e 9inear Regression :;uation A'ter -igni'i an e (est:.............................................................................................%1 1.20.12-tandardi8ed Mu"tip"e 9inear Regression :;uation A'ter -igni'i an e (est:..................................................................................................................%1 1.20.13Residua" -tatisti s.................................................................................%2 1.20.143orma" ,ro.a.i"it* ,"ot.......................................................................%3 1.21Revised !ode" afte/ Deducting Insignificant va/iab"es...................................4# 1.21.1Revised Mode" -ummar*.......................................................................%! 1.21.2Revised Ana"*sis o' 1arian e 2A341A5..............................................%! 1.21.3Revised 1a"idit* o' t)e Mode" .* using $/(est: ...................................%# 1.21.4Revised Beta Coe''i ients......................................................................%# 1.21.!Revised 7nstandardi8ed Mu"tip"e 9inear Regression :;uation .e'ore -igni'i an e (est:.............................................................................................%% 1.21.#Revised &nterpretation o' 7nstandardi8ed Beta Coe''i ients: ...............%% 1.21.%Revised -tandardi8ed Mu"tip"e 9inear Regression :;uation .e'ore -igni'i an e (est:.............................................................................................%9 1.21.+Revised &nterpretation o' -tandardi8ed Beta Coe''i ients: ...................%9 1.21.9Revised (/test 'or statisti a" signi'i an e o' individua" independent varia."es: .........................................................................................................+0 1.21.10Revised 7nstandardi8ed Mu"tip"e 9inear Regression :;uation A'ter -igni'i an e (est:.............................................................................................+2 1.21.11Revised -tandardi8ed Mu"tip"e 9inear Regression :;uation A'ter -igni'i an e (est:.............................................................................................+3 1.21.12Revised Residua" -tatisti s...................................................................+3 1.21.13Revised 3orma" ,ro.a.i"it* ,"ot..........................................................+4 1.0)INDIN=S 9 CONC$USION......................................................................................... 5# CONC$USION.........................................................................................5# 4.0R'CO!!'ND,TIONS.................................................................................................. 5. 4.0R'CO!!'ND,TIONS..................................................................................................5.
"%

1.0

2.0 Int/oduction
1.1 Objectives of the Study
()e o.<e tive o' t)e stud* is to 'ind out =)et)er t)ere is statisti a" re"ations)ip .et=een t)e sa"es o' redit ards and ot)er 'a tors su ) as de.it ard sa"es> ne= deposit a ounts> ne= "oan a ounts> dire t sa"es team or permanent sta'' num.er et . ()is stud* =i"" attempt to esta."is) a "inear mode" .et=een t)e varia."es and )en e =i"" tr* to ;uanti'* t)e re"ations)ip in a "inear e;uation. 1arious ot)er tests =i"" .e done in an attempt to identi'* a proper statisti a" re"ations)ip.

1.2

Significance of the Study

()e stud* is primari"* an interns)ip report .ut sti"" it =i"" .e aimed at )e"ping t)e

management to identi'* t)e 'a tors t)at in'"uen e t)e

redit

ard sa"es. ()e statisti a"

re"ations)ip =i"" )e"p to determine =)i ) 'a tors are most important so t)at t)e management an 'o us on t)ose 'a tors. 7nderstanding t)ese 'a tors =i"" .e ke* to su ess o' :B9?s redit ards in t)e 'a e o' )uge ompetition. Moreover t)e stud* =i"" )e"p m* 'a u"t* to understand t)e 'a tors t)at in'"uen e redit ard pur )ase .e)avior in re"ation to ot)er 'a tors o' t)e .ank.

1.

!ethodo"ogy
()e stud* is primari"* .ased on seconda/y data o""e ted 'rom t)e Consumer

Banking division o' :B9. :ver* mont) an interna" M&- report is reated so t)at per'orman e o' ea ) .ran ) an .e measured. ()ese data )ave .een used in t)is report. ()e data is o' Ma*
1

200+. Additiona""* 'or te )ni a" re'eren e> some =e.sites )ave .een ;uoted in t)e report =)i ) =i"" )e"p to 'urt)er "ari'* t)e statisti a" re"ations)ip.

1.#

$i%itations of the Study

()e ma<or "imitation o' t)e stud* is t)at it does not )ave an* primar* data. A"" data

)ave .een o""e ted 'rom Consumer Banking division> =)i ) )ave .een origina""* o""e ted 'or a di''erent purpose. -e ond"*> t)ere mig)t .e ot)er 'a tors t)an t)e varia."es mentioned in t)e report t)at an a''e t redit ard sa"es. -o t)ose varia."es ma* .e important .ut mig)t skip t)is report. -o t)is is anot)er ma<or "imitation.

"r&ani'ational (art

.0 Ove/vie? of the +an0

1.. *isto/y and +ac0g/ound of 'aste/n +an0 $i%ited
()e emergen e o' :astern Bank 9imited in t)e private se tor is an important event in t)e .anking industr* o' Bang"ades). :astern Bank 9imited started its .usiness as a pu."i "imited ompan* on August +> 1992 =it) t)e primar* o.<e tives to arr* on a"" kinds o' .anking .usiness in and outside o' Bang"ades) and a"so =it) a vie= to sa'eguard t)e interest o' t)e depositors o' erst=)i"e BCC& 2Bank o' Credit and Commer e &nternationa" 24verseas55 under t)e Re onstru tion - )eme> 1992> 'ramed .* Bang"ades) Bank.

&n 1991> =)en BCC& )ad o""apsed internationa""*> t)e operation o' t)is .ank )ad .een "osed Bang"ades). A'ter a "ong dis ussion =it) t)e BCC& emp"o*ees and taking into onsideration t)e depositors? interest> Bang"ades) Bank t)en gave permission to 'orm a .ank named :astern Bank 9imited =)i ) =ou"d take over a"" t)e assets> as) and "ia.i"ities o' erst=)i"e BCC& in Bang"ades)> =it) e''e t 'rom 1#t) August 1992. -o> it an .e said t)at :B9 is a su essor o' BCC&.

:astern Bank 9imited 2:B95 is a se ond generation ommer ia" .ank =it) 29 on"ine .ran )es a ross ma<or ities in Bang"ades) and #12 'u"" time emp"o*ees on *ear end 200%. &t o''ers 'u"" range o' ommer ia" .anking produ ts and servi es to t)e orporate> mid/market and retai" segment. 7nder t)e orporate .anking segments t)e Bank )as ompre)ensive range o' 'inan ia" produ ts in "uding orporate deposit a ounts> s*ndi ated 'inan ing> e@port/ import 'inan ing> =orking apita" and ot)er 'inan e> .onds and guarantees> investment and
(

.usiness

ounse"ing> in'rastru ture 'inan e>

as) management servi es et . 0it) ur.an

.anking 'o us> t)e Bank is o''ering various a"ternative de"iver* )anne"s "ike A(Ms> Bi""s ,a* Ma )ines> Aiosks> and &nternet Banking et . ()e .ank )as set up a .rand image attri.uta."e in part to its po"i * o' ontinuous ustomer servi e e@ e""en e> innovative

produ ts and servi es and ma@imum te )no"og* uti"i8ation. 7n"ike onventiona" .ran ) .anking> redit proposa"s as =e"" as .usiness operations are pro essed entra""* at :B9. Besides Main 4peration> :B9 )as an 4''s)ore Banking 7nit 24B75 set up in 2004 =)i ) gives "oans and takes deposits on"* in 'ree"* onverti."e 'oreign urren * to and 'rom non resident personBinstitutions> 'u""* 'oreign o=ned :,C ompanies et .

1.1

'+$2s &ision3
:B9?s vision is to .e ome t)e +an0 of Choice .* t/ansfo/%ing the ?ay it does

business and deve"oping a tru"* uni;ue 'inan ia" institution t)at de"ive/s su7e/io/ g/o?th 9 financia" 7e/fo/%ance and be the %ost Recogni@ab"e +/and in the financia" se/vices in Bang"ades).

:B9 dreams to .e ome t)e .ank o' )oi e o' t)e genera" pu."i =)i ) in "udes .ot) t)e onsumer and t)e orporate "ients. ()e* =ant to .ui"d su ) an image t)at =)enever peop"e =i"" t)ink o' a .ank> t)e* =i"" t)ink o' :astern Bank. &n order to .ui"d up su ) an image> :B9 )as taken up some attra tive promotiona" ampaign =it) t)e pro'essiona" )e"p o' 7nitrend 9td. ()e* are targeting t)e *oung generation in parti u"ar .e ause resear ) )as s)o=n t)at peop"e usua""* )ave a so't orner 'or t)e 'irst .ank o' t)eir "ives and tend to sti k to it i' t)e* are satis'ied =it) its servi e. 0it) t)is p"an in mind> :B9 is tr*ing to pro<e t itse"'
1

as a vi.rant and d*nami organi8ation .* introdu ing state/o'/t)e/art .anking te )no"og* =)i ) =i"" make .anking easier and )ass"e/'ree to t)e *oung generation. &t )as adopted t)e tag "ine D-imp"e mat)> t)e p)i"osop)* o' eas* .ankingE and a"so adopted a ne= "ogo =)i ) "ooks ver* d*nami in its attra tive o"ors. ()e ."ue> go"d and green o"ors o' t)e "ogo re'"e t a"" t)e )anges t)at are taking p"a e in :B9. &n t)e =ords o' :B9?s promotiona" "iteratures> D:astern Bank 9imited> t)e inspiration o' )ange is )appening no=Ft)e vi.rant green o' mot)er eart)> a ."ue sk* 'u"" o' possi.i"ities and a *e""o= rising sun o' )ope omes toget)er 'or a ne= 'a e o' :B9.E &n order to a )ieve superior gro=t) G 'inan ia" per'orman e 'or its s)are)o"ders> :B9 is radi a""* trans'orming t)e =a* it does .usiness. A"read* t)e .ank )as restru tured 'rom t)e traditiona" geograp)i a" matri@ 2.ran )/.ased .anking5 to .usiness unit matri@. ()e restru turing program is dis ussed in detai" in t)e "ater se tions. ()e .ank is a"so entra"i8ing most o' t)e .usiness 'un tions in t)e )ead o''i e to ensure greater ontro" and e''i ien *.

1.4

'+$2s !ission3

&n "ine =it) its vision> :B9 )as deve"oped a mission statement =)i ) reads as 'o""o=s and is se"'/e@p"anator*: 2 (o de"iver servi e e@ e""en e to a"" its ustomers> .ot) interna" G e@terna". 2 (o onstant"* )a""enge its s*stems> pro edures G training to maintain a o)esive and pro'essiona" team in order to a )ieve servi e e@ e""en e. 2 (o reate an ena."ing environment and em.ra e a team .ased u"ture =)ere peop"e =i"" e@ e". 2 (o ensure to ma@imi8e s)are)o"ders va"ue.
3

1.5

6/esent +usiness 6hi"oso7hy3

()e p)i"osop)* o' t)e present management o' :B9 is to deve"op t)e Bank into an

idea" and uni;ue .anking institution. ()e per eption is t)at :B9 s)ou"d .e ;uite di''erent 'rom ot)er private"* o=ned and managed ommer ia" .ank operating in Bang"ades). :B9 is to gro= as a "eader in t)e industr* rat)er t)an a 'o""o=er. ()e "eaders)ip =i"" .e in t)e area o' servi eH onstant e''ort .eing made to add ne= dimension so t)at "ients an get Isomet)ing additiona"I in t)e matter o' servi es to ommensurate =it) t)e needs and re;uirements o' t)e ountr*Js gro=ing so iet* and deve"oping e onom*. (i"" 2000> :B9 =as operating in a Keograp)i a" Matri@ =)ere t)e .usiness o' t)e .ank =as on entrated in t)e 22 .ran )es divided into 8ones. But in 2001> t)e ne= d*nami management o' :B9 "ed .* t)e Managing Dire tor Mr. &'tek)ar )as )anged t)e Keograp)i Matri@ into Business Matri@. ()e .ank )as .een restru tured into t)ree main .usinesses =)i ) are responsi."e 'or earning t)e in omes o' t)e .ank. ()ese are: Corporate Banking Consumer Banking (reasur* A"" ot)er departments o' t)e .ank a t as support units 'or t)ese 3 units and )e"p t)em in ever* possi."e =a*. 7nder t)is arrangement> t)e responsi.i"ities and 'un tions o' t)e .ran )es )ave .een redu ed dramati a""*. Man* o' t)e a tivities "ike redit eva"uation G approva">

monitoring o' "oans> trade servi es a tivities et . are no= entra"i8ed in t)e Head 4''i e. ()e .ran )es o' t)e .ank are no= termed as t)e ASa"es 9 Se/vice Cente/sB =)i ) are so"e"* on entrated on de"ivering servi es to t)e orporate and onsumer "ients and maintain re"ations)ip =it) t)em.

1.8

!anage%ent ,s7ects3
9ike an* ot)er .usiness organi8ation> a"" t)e ma<or de isions in :B9 are made .* t)e

top management. ()e .oard o' dire tors .eing at t)e )ig)est "eve" o' organi8ationa" stru ture p"a*s an important ro"e in po"i * 'ormu"ation. ()e .oard o' dire tors is not dire t"* on erned =it) t)e da*/to/da* operation o' .ank. ()e* )ave de"egated t)is dut* to t)e management ommittee. ()e .oard main"* esta."is)es t)e o.<e tives and po"i ies o' t)e .ank. ()ere are t)ree 235 ommittee o' t)e .oard 'or di''erent purposes: 1. 2. 3. :@e utive ommittee omprising o' % mem.ers o' t)e .oardH Committee o' t)e .oard 'or Administrative matter> Committee to e@amine Bad 9oan Cases. ()e C)ie' :@e utive 4''i er 2C:45> =)o is assisted .* 3 :@e utive 1i e ,residents 2:1,s5> "ooks a'ter t)e da*/to/da* a''airs o' t)e Bank. Human Resour e Department> MDs -e retariat and Audit and Comp"ian e Department are under dire t ontro" o' t)e C:4. ()e t)ree :1,s are in )arge o' 4perations> Credit and Corporate Banking respe tive"*. ()e* ontro" t)e a''airs o' t)ese departments t)roug) t)e managers =)o are in )arge o' various departments under t)ese divisions.

Mid and "o=er "eve" emp"o*ees get t)e dire tion and instru tion 'rom t)e top e@e utives a.out t)e duties and tasks t)e* )ave to per'orm. Management o' :astern Bank 9td. assumes t)at emp"o*ees are mem.ers o' t)e team> =)o a tive"* parti ipate in a omp"is)ing t)e organi8ation goa". ()e )ie' e@e utive provides t)e guide"ine and .road dire tion to t)e managers and emp"o*ees .ut de"egates? responsi.i"it* 'or determining )o= tasks and goa"s are to .e a omp"is)ed. ()e present top management is as 'o""o=s:

L L L L L L L

Mr A"i Re8a &'tek)ar / Mr Ma).u.u" A"am (a*ia. / Mr Mamoon Ma)mood -)a)/ Mr. Muk)"esur Ra)man/ Mr Cag"u" A..as / Mr Md. $akru" A"am/ Md. -ira<u" &s"am /

Managing Dire tor G C:4 :@e utive 1i e ,resident G Head o' 4p. -enior :@e utive 1i e ,resident G DMD -enior :@e utive 1i e ,resident G DMD :1, G Head o' Credit Risk Management :@e utive 1i e ,resident Head o' Human Resour es /

()e management )ierar )* o' :astern Bank 9imited is given .e"o=:

$HAI)+A%

"A)D "# DI)!$T")S

+A%A,I%, DI)!$T")

!-!$.TI*! *I$! ()!SID!%T

S!%I") *I$! ()!SID!%T

*I$! ()!SID!%T

S!%I") ASSISTA%T *I$! ()!SID!%T

#I)ST ASSISTA%T *I$! ()!SID!%T

ASSISTA%T *I$! ()!SID!%T

S!%I") ()I%$I(AL "##I$!)

()I%$I(AL "##I$!)

S!%I") "##I$!)

"##I$!)

#i&ure /: +ana&ement Hierarch0 of ! L

1.8.1

Co/7o/ate +an0ing Division3 Corporate Banking Division ame into e@isten e .e ause o' t)e restru turing o'

:B9?s .usiness pro esses. ,revious"* a"" t)e "oan dis.ursement and monitoring a tivities =ere arried out .* t)e o''i ers o' individua" .ran )es> =)i ) resu"ted in poor management and ontro" o' t)e pro ess. (o )e k t)is trend> :B9 de ided to entra"i8e its "oan

dis.ursement and monitoring a tivities in "ine =it) t)e mode" 'o""o=ed .* t)e 'oreign .anks in t)e ountr*. As su )> :B9 =as t)e 'irst private ommer ia" .ank in t)e ountr* to )ave a separate Corporate Banking Division =)i ) started operation on 10t) Manuar* o' 2002. ()is division is responsi."e 'or .ringing in pro'ita."e ne= orporate "ients and retaining present "ients .* meeting t)eir various needs. Corporate Banking de"ivers .anking servi es "ike produ ts> redit 'a i"ities> tai"ored 'inan ia" so"ution to t)e spe i'i needs o' "ients> reso"ves redit issues> and deve"ops t)e re"ations)ip .et=een t)e "ients and t)e .ank. At present> orporate Banking Division is t)e main revenue earner o' :B9> generating a.out %0N o' t)e tota" revenue.
10

()e =)o"e orporate division is divided into t=o .road areas> Area 1 t)at omprises o' D)aka and 4utstation Bran )es and Area 2 omprising o' C)ittagong .ran )es. Area 1 onsists o' si@ re"ations)ip units. $ive units in Area 1 are "ooking a'ter t)e .ank?s assets 2"oans and advan es5 and one unit is responsi."e 'or "ia.i"ities> =)i"e Area 2 )as t)ree asset units and one "ia.i"ities unit. :ver* asset unit )as a unit )ead> =)o is in )arge o' t)at unit and responsi."e 'or a"" t)e .usiness a tivities o' t)at unit. Kenera""* one Re"ations)ip Manager 2RM5 and one Asso iate Re"ations)ip Manager 2ARM5 =ork under t)e 7nit Head. A"" 7nit )eads =ork under t)e Head o' Corporate> and t)e* report dire t"* to )im. ()e management )ierar )* o' t)e Corporate Banking Division is given .e"o=:

Head of Corporate

Unit Head

Relationship Manager

Associate Relationship Manager

)igu/e 3 !anage%ent *ie/a/chy of Co/7o/ate +an0ing

The b/oad functions of this division a/e as fo""o?s3 (argeting orporate "ients and .ui"ding .usiness re"ations)ip =it) t)em
11

Designing ustomi8ed servi e 'or t)e "ients :va"uating 'inan ia" strengt) o' t)e "ients Making possi."e re ommendations 'or 'urt)er 'inan ia" e@pansion

1.8.2

C/edit Ris0 !anage%ent and ,d%inist/ation3 ()e primar* o.<e tive o' t)is division is to eva"uate t)e redit =ort)iness and de.t

pa*ment apa.i"it* o' present "oan ustomers and "oan app"i ants. ()e respe tive .ran )es send a"" "oans and advan es proposa"s 'rom t)e prospe tive .orro=ers to t)e Head o''i e Credit Risk Management 2H4CRM5 'or an approva". &' t)is department 'inds t)e "oan proposa" attra tive> it eit)er approves it or sends it 'or .oard approva". &t is a"so responsi."e 'or keeping tra k o' t)e redit port'o"io .* o.taining regu"ar in'ormation 'rom t)e .ran )es. &t sets pri es 'or redits and ensures a''e ting it at t)e .ran )es. ()is department a"so monitors t)e various "oan a ounts o' t)e .ran )es and prepares various statements 'or Bang"ades) Bank. ()e Credit Risk Management Department is assisted .* t)e Credit Administration Department> =)i ) is main"* on erned =it) t)e post/approva" 'un tions o' t)e division. ()e aspe ts t)at are riti a""* tra ked and monitored .* Credit Admin are Credit e@pir* ,ast dues :@ ess over "imit Do ument de'i ien * Reporting

12

Credit Administration is invo"ved in .asi a""* 2 .road 'un tions: 9oan Monitoring Do umentation

Loan Monitoring: ()e important aspe ts o' t)is part are: $o""o= approva" terms ,roper "oan dis.ursement Monitor interest pa*ments Monitor prin ipa" repa*ment Ba"an e =it) genera" "edger

Documentation: ()e important 'un tions o' t)is part are: 9ook at san tion terms $i"" up "oan do umentation )e k"ist :nsure ,roper "oan do umentation 4.tain "ient sign o'' $i"ing =it) t)e Registered Moint -to k Corporation 2 RM-C5 Registered mortgage deed e@e ution

1.8.

Consu%e/ +an0ing Division3

13

()e mission o' Consumer Banking is to serve individua" ustomer t)roug)out ever* stage o' t)eir "i'e stage. ()e onsumer .anking a tivities are .eing arried out t)roug) t)e 29 .ran )es o' :astern Bank 9imited operating ountr*=ide. Among t)ese .ran )es 1! .ran )es are "o ated in D)aka> # in C)ittagong> 4 in -*")et and 1 ea ) in A)u"na> Messore> Bogra and Ra<s)a)i. ,revious"* t)ese .ran )es used to ondu t a"" kind o' .usiness a tivities> in "uding pro essing redit issue> ondu ting trade servi e> onsumer servi e et . But a'ter t)e

restru turing pro ess> a"" t)ese .ran )es are no= main"* 'o using on"* on de"ivering servi e to individua" and orporate ustomers and are t)ere'ore termed as D-a"es G -ervi es

CentersE. At present> :B9 does not )ave too man* attra tive onsumer produ ts> and t)ere'ore t)is division is produ ing on"* 1!N o' t)e tota" revenue. Ho=ever> :B9 )as de ided to give more 'o us on onsumer .anking and is deve"oping modern de"iver* )anne"s "ike A(Ms> te"e/.anking> internet .anking> redit ards> et . and man* ot)er ne= onsumer produ ts and servi es to meet spe i'i 'inan ia" demands o' t)e ustomers as =e"" as to make t)eir "i'e eas* G onvenient. The b/oad functions of this division a/e3 -ett"ement o' a ounts Bui"ding strong re"ations)ip =it) individua" ustomers &denti'*ing individua" needs o' t)e ustomers and t)us )e"ping design produ ts t)at =i"" meet t)eir needs. ,roviding "o ker servi es ,roviding an i""ar* servi es

1.8.#

*u%an Resou/ces Division3

1(

()e emp"o*ees are :astern Bank?s most va"ua."e resour e. Having ompetent and pro'essiona" emp"o*ees is .e oming in reasing"* important in toda*?s ompetitive =or"d> and :B9 )as a signi'i ant ompetitive advantage in t)is respe t. Man* o' its emp"o*ees )ave =orked )ere sin e t)e BCC& area and t)ere'ore )ave vast e@perien e in t)eir respe tive 'ie"ds. A"so t)e ne= emp"o*ees are re ruited =it) sound a ademi .a kground and given proper training a'ter re ruitment to groom up 'or t)eir responsi.i"ities.

()e Mission o' HR Division is to make :B9 t)e Employer of Choice. ()e* p"an to in u" ate a )ig) per'orman e u"ture =)ere t)e emp"o*ees =i"" =ork =it) 'un and pride. ()e .road 'un tions o' t)is division are:

+ui"ding '%7"oye/ I%age3 ()e HR department )as taken steps in .ui"ding re"ations)ip =it) re ogni8ed edu ationa" institutes in order to reate positive a=areness a.out :B9 as an emp"o*er. ()is is .eing done .* e@tending interns)ips to students> sponsoring student events and .* parti ipating in <o. 'airs run .* di''erent universities.

Staffing3 Anot)er important task o' t)e HR division is to prepare a"" 'orma"ities regarding appointment and <oining o' t)e su ess'u" andidates.

T/aining3 HR department emp)asi8es on training and deve"opment in order to minimi8e t)e kno="edge and ski"" gaps and en)an e .usiness a=areness among t)e .ank emp"o*ees. (o t)is e''e t> t)is department arranges various training programs 'or t)e .ank emp"o*ees .ot) at
11

t)e Bank?s o=n (raining &nstitute at -)antinagar and at various outside "o ations> "ike Bang"ades) &nstitute o' .ank Management 2B&BM5.

6e/fo/%ance !anage%ent3 9ast *ear> :B9 )as introdu ed a per'orman e/oriented u"ture and a parti ipative per'orman e appraisa" pro ess. :a ) emp"o*ee is given annua" per'orman e target .ased on a dis ussion .et=een t)e emp"o*ee and )isB)er supervisor. At *ear end> a per'orman e eva"uation a""ed Annua" C"assi'ied Report 2ACR5 is arried out .ased on t)e targets and Ae* Responsi.i"it* Areas 2ARAs5. $rom no= on> a"" in rements> .onuses and promotions =i"" .e given .ased on t)e resu"ts o' t)is per'orman e eva"uation.

1.8..

,udit and Co%7"iance Division3

()e main 'un tion o' t)is division is to provide "ega" assistan e to t)e .ran )es and to ensure stri t ad)eren e o' ru"es and po"i ies .* a"" on erned o''i ia"s o' t)e .ank t)roug) routine and surprise inspe tion and audit. ()e 'un tions o' t)is division are as 'o""o=s: &mp"ement res )edu"ing pro ess o' stu k/up "oan to t)e .ran )es 'or o.taining repa*ment s )edu"e t)roug) strong persuasion and serve 'ina" noti e et . as t)e ondition re;uired. Monitor t)e individua" ases =it) respe t to t)eir se urities> va"ue o' se urities> and 'ina""* revie= o' possi.i"it* o' re over* o' .ank?s stu k/up "assi'ied "oan. &nvestigate suspi ious or irregu"ar matters .eing dire ted .* )ig)er management. A"so ondu t su ) in;uir* .eing re;uested .* a''e ted .ran )/in/ )arges. (ime to time 'o""o=/up o' stu k/up advan es o' .ran )es and keep t)e .ran )es under onstant pressure. &nspe t a"" .ran )es? operations at "east on e in a *ear.
13

 Carr* out surprise audit as 'e"t ne essar*.

1.8.1

)inance and ,ccounts Division3

$inan e and A ounts division is a ver* important division 'or an* Bank> .e ause its task is to Maintain dai"* "i;uidit* positions> treasur* .i""s> a"" mone*> de.entures> p"a ement o' 'unds et . Mont)"*/a rued interest a" u"ation o' a"" interests .earing a ounts> inter/.ran )

a" u"ation 'or Head 4''i e> amorti8ation o' a"" 'i@ed and ot)er assets. ,reparation o' statement o' a ounts and pro'it and "oss a ount 'or t)e .ank. 0eek"* deposit and advan e ana"*sis o' t)e .ank. Cost o' 'und ana"*sis. Maintenan e o' a ounts> preparation o' annua" report o' t)e .ank> maintenan e o' provident 'und a ounts> maintenan e o' in ome and e@penditure posting> maintenan e o' sa"aries and =ages o' t)e emp"o*ees et . $u"'i""ing reporting re;uirements o' Bang"ades) Bank.

1.8.4

Info/%ation Techno"ogy Division3 ,revious"*> :astern Bank )ad a ver* "o= "eve" o' automation. ()ere =ere )ard"* an*

,C in t)e =)o"e Bank .e'ore 2001. But =)en t)e ne= management took over in 2001> t)e* gave )uge emp)asis on omputeri8ing t)e .ank?s operations. A'ter 2 *ears> a"most a"" t)e operations in t)e .ank are no= automated. ()e Bank is a"so s)i'ting to a ne= &( p"at'orm> =)i ) aims at maintaining> operating and strengt)ening t)e te )no"og* .ase o' t)e .ank to
14

ena."e error 'ree produ tion o' in'ormation t)at ensures ongoing e''i ien * and pro'ita.i"it* o' operation. A =or"d "ass .anking so't=are a""ed $"e@Cu.e )as .een insta""ed =)i ) =i"" entra"i8e operations and provide 4n"ine Banking> &nternet Banking> Automated (e""er Ma )ine> (e"ep)one Banking> ,oint o' sa"e dispenser> Credit Card 'a i"it* et .

0it) t)is imp"ementation o' state/o'/t)e/art &n'ormation (e )no"og*> t)e &( division )as .e ome a ver* important ontri.utor to t)e .ank?s overa"" e''i ien * and pro'ita.i"it*. At present> t)e &( department serves t)e 'o""o=ing 'un tions: Deve"opment o' so't=ares 'or .ank?s operation a ording to need> t)eir maintenan e and pur )ase o' ne= so't=ares. Maintenan e o' omputer )ard=ares and upgrading t)e ,Cs =)enever re;uired. (raining o' t)e sta'' so t)at t)e* an per'orm proper"* in t)e automated environment. ,reparing training materia"s. (rou."es)ooting =it) t)e ne= so't=are.

1.8.5

Inte/nationa" Division3 &nternationa" Division is responsi."e 'or assisting t)e aut)ori8ed .ran )es to dea" in

'oreign trades> t)at is> import and e@port .usinesses on a ount o' t)e ustomers o' t)e .ank .* giving approva" 'or transa tions and ontro""ing t)em at various stages.

18

&t dea"s =it) a"" orrespondents o' 'oreign .anks )aving arrangement =it) t)e .ank. :ver* *ear ne= agents are added. ()e "arger t)e num.er o' orrespondents and t)e =ider t)e overage area> t)e ri )er =i"" .e t)e internationa" onne tions o' t)e .ank.

The functions 7e/fo/%ed by this division a/e as fo""o?s3 Correspondent .anking re"ations)ip -upervision o' 'oreign e@ )ange transa tion o' ot)er units Monitoring on omp"ian e o' Bang"ades) Bank regu"ations -upervise sa"e B pur )ase o' 'oreign urren ies Re on i"iation o' 3ostro A ounts

1.8.8

,d%inist/ation3

()is department "ooks a'ter t)e administrative matters and pro urement and supp"* o' a"" tangi."e goods to t)e .ran )es. -ome o' t)e main 'un tions o' t)is division are des ri.ed as 'o""o=s: Make arrangement 'or .ran ) opening su ) as making "ease agreement> interna" de orations et . ,rint a"" se urit* papers and .ank stationer*. ,ur )ase ne essar* stationer* items. Distri.ute t)is stationer* to t)e .ran )es. ,ur )ase a"" sorts o' 'urniture and 'i@tures 'or t)e .ran )es. &nsta"" and maintain di''erent 'a i"ities 'or t)e .ran )es et .
1)

 &ssuan e o' po=er o' attorne* to t)e o''i ers o' t)e .ran )es. &ssuan e o' di''erent ir u"ars o' Bang"ades) Bank and ot)er .anks. Kenera" orresponden e =it) Bang"ades) Bank and ot)er .anks. Advertise in t)e di''erent media a.out tender noti e> genera" meetings and pu."i interests.

20

#.0 '+$ Ca/ds

1.10 Ty7es of C/edit Ca/ds

()e 'o""o=ing diagram s)o=s t)e di''erent t*pes o' redit ards t)at :B9 urrent"* o''ers.

1.11

)eatu/es of '+$ Si%7"e C/edit Ca/d

Onetime Fee, Lifetime Free

(o avai" :B9 Credit Card servi es> ustomer needs to pa* t)e

&ssuan eBMoiningB-u.s riptionB Annua" $ee on"* on e. A'ter t)at t)ere is no annua" 'ee 'or ustomer as "ong as ustomer transa t at "east 1+ times in a =)o"e *ear. &t is a "i'etime Card. As per market standard> an average ard)o"der uses )isB)er ard a"most 24 times annua""*. -o> =it)out doing an*t)ing e@tra / ustomer an )ave t)e 'ree rene=a" option O 'or t)e 'o""o=ing *ear.
21

Balance Transfer
:B9 is )app* to introdu e Ba"an e (rans'er 'or t)e 'irst time in Bang"ades). &' ustomer )as 4t)er Bank Credit Card2s5> ustomer )as t)e option to trans'er )is urrent outstanding .a"an e at a mu ) )eaper rate to )is :B9 Credit Card. ()is saves )is mone*> time and gives ustomer t)e onvenien e to manage a"" )is e@penses 'rom one point. :B9 =ant to .e )is "i'etime partner. ()at is =)* :B9 are a.out )is urrent outstanding amount. :B9 are o''ering Ba"an e (rans'er 2B(5 P22N per annum. ()e standard market interest average o' Bank Credit Card is 30N. :B9 are o''ering ustomer to s=it ) )is ards P+N "ess interest.

Card Cheque
()roug) :B9 Credit Card ustomer an en<o* a 'u""/'"edged )e;ue .ook 'a i"it*. Customer an make pa*ment 2a ount pa*ee on"*5 to an* person or organi8ation o' )is )oi e. ()is )e;ue .ook is use'u" =it) situation =)ere ustomer annot use )is redit ard 2e.g. tuition 'ees> rent> et 5. :B9 are o''ering t)e $&R-( CH:Q7:B44A $R::. ()ere is a )arge 'or su.se;uent C)e;ue.ooks.

Worldwide Acceptance
:B9 Credit Card is a epted at over !>000 1&-A mer )ant out"ets around t)e ountr* and over 24 mi""ion 1&-A out"ets =or"d=ide. Customer an use t)is Card 'or a =ide range o' produ ts and servi es su ) as )ote"s> restaurants> air"ine G trave" agents> s)opping ma""s and departmenta" stores> )ospita"s and diagnosti enters> <e=e"ers> e"e troni s G omputer s)ops>

"eat)er goods and s)oe stores> mo.i"e p)one and internet servi e providers> 'ue" station and

22

=)at notR ()is num.er is progressive"* on t)e rise. 3o matter =)erever ustomer is O =it) :B9 Credit Cards> ustomer =i"" a"=a*s )ave t)e pur )ase po=er.

Immediate Cash Advance

0it) an :B9 Credit Card in )is =a""et> ustomer =i"" not .e strapped 'or as) ever again. He an =it)dra= as) up to !0N o' )is tota" redit "imit 24/)ours a da* 'rom an* :B9 A(MH or an* 1&-A parti ipating mem.er .ank A(Ms a ross t)e ountr*H or 'rom an* 1&-A A(Ms =or"d=ide. Sou do not need to =orr* o' arr*ing as) an*=)ere O not even on a 'oreign trip =)en t)ere is no one to give ustomer )ard as) at time o' need.

Supplementar Card
:B9 Credit Card gives ustomer t)e opportunit* to s)are t)e .ene'its o' )is ard =it) )is dear ones .* providing ustomer supp"ementar* ards. Being a primar* ard)o"der> ustomer )as t)e option to set a spending "imit 'or ea ) o' )is supp"ementar* ards. ()is is per'e t 'or ustomer i' ustomer is t)inking o' giving )is )i"dren t)eir po ket mone* in a ontro""ed =a*. Sou an easi"* set/up t)eir spending "imit and a"so )ave an e*e on t)eir spending .e)avior. A"" transa tions on )is supp"ementar* ard =i"" separate"* .e s)o=n on )is mont)"* statement.

!is" Assurance #ro$ram

Risk Assuran e ,rogram is a Dou."e Bene'it &nsuran e ,"an 'or t)e :B9 Credit Card)o"ders. ()e entire dues on t)e redit ard in t)e event o' deat) or permanent tota" disa.i"it* o' :B9 redit ard)o"der =i"" .e =aived and t)e ard)o"der or )isB)er 'ami"* =i"" re eive e;ua" amount to meet immediate e@penses O under Risk Assuran e ,rogram. 1er*

23

nomina" )arge =i"" .e app"i a."e 'or t)is overage. Card)o"ders an de ide to an e" t)is program .* sending a "etter to us at an* time.

%reat &iscounts
:B9 )ave o""a.orated =it) )undreds o' vendors 'or giving t)e :B9 Credit Card users a )e't* dis ount on t)eir produ ts and servi es. ()e great dis ounts in turn a""o=s ustomer eit)er to save mone* or s)op more =it) t)e same amount ustomer are spending no=.

Shopper's %uide
:B9 Credit Card provides ustomer a "ist o' s)ops and out"ets =)ere using t)e ard =i"" entit"e ustomer to re eive ertain dis ount. :B9 )ave )osen a "arge num.er o' s)ops and retai" out"ets 'or t)e purpose. ()e printed guide omes =it) ever* detai"s 2i.e. s)op name> address> dis ount va"ue et .5 t)us making )is "i'e easier.

(as Installment #ro$ram

:as* &nsta""ment ,rogram o' :B9 Credit Card a""o=s t)e ard)o"der to onvert an* retai" transa tion into an eas* insta""ment p"an. Sou an pur )ase an* )ig) va"ue produ t or servi e and make pa*ments in e;ua" mont)"* insta""ments 2:M&s5. ()e program =i"" .e avai"a."e s)ort"* and :B9 =i"" noti'* ustomer as soon as our net=ork partners in rease.

Auto &e)it Facilit

2(

&' ustomer )as an a ount =it) an* :astern Bank .ran )> ustomer )as t)e option o' making t)e pa*ment o' )is mont)"* redit statement 2eit)er t)e minimum amount due or t)e tota" amount due5 dire t"* t)roug) )is .ank a ount.

Convenient #a ment Option

0)en ustomer re eives )is .i""> ustomer need not pa* t)e entire .i"" amount. Sou )ave t)e '"e@i.i"it* o' se"e ting an* o' t)e 'o""o=ing pa*ment options: 1. ,a* t)e tota" amount due. 2. ,a* on"* t)e minimum amount due 2!N o' )is tota" outstanding or BD( !00 =)i )ever is )ig)er 'or "o a" ard and 'or Dua" ard !N o' )is tota" outstanding or 7-D 10 =)i )ever is )ig)er5 and t)e .a"an e an .e arried 'or=ard to su.se;uent statements. 3. ,a* an* amount ranging 'rom t)e minimum amount due to t)e tota" amount due. Sou an p"an )is pa*ments onvenient"*> =it)out reating an* e@tra pressure on )is 'inan es.

S*ail Service
:B9 ard)o"ders an re eive mont)"* statements via e/mai"> omp"ete"* 'ree o' ost. ()is is a 'ast> re"ia."e and e''i ient servi e> =)i ) =i"" minimi8e )is paper=ork and ma@imi8e onvenien e. His -tatement Mai"s or -Mai"s an .e de"ivered to more t)an one e/mai" address 2up to a ma@imum o' t)ree e/mai" addresses5. A"" ustomer need to do is <ust 'i""ing up t)e 'orm and :B9 =i"" do t)e rest. &t?s a"" smi"e =it) -Mai".

%lo)al (mer$enc Assistance Service

21

0)en ustomer trave" a.road> p"ease remem.er t)at ustomer )ave t)e option o' using t)e K"o.a" :mergen * Assistan e -ervi es provided .* 1&-A 'or our ard)o"ders. ()ese an .e avai"ed 'or: 1. Reporting "ostBsto"en redit ards> 2. Re;uesting 'or an

emergen * ard rep"a ement> 3. :mergen * as) advan e G 4. Mis e""aneous en;uiries. ()e to"" 'ree te"ep)one num.ers 'or a essing t)ese emergen * assistan e He"p "ines are avai"a."e in "o a" te"ep)one dire toriesB*e""o= pages and ot)er "o a" "istings in ea ) ountr*.

(BL *o)ile Alert

:B9 Mo.i"e A"ert is a ver* simp"e> po=er'u" and onvenient =a* to kno= )is Credit Card statement detai"s instant"* =it)out an* posta" de"a*s. As soon as ustomer .e omes an :B9 Credit Card)o"der> )e automati a""* <oin in t)e :B9 Mo.i"e A"ert servi e and get 'aster> re"ia."e a ess to )is Mont)"* -tatement. Mo.i"e a"erts 'rom :B9 provides ustomer =it) in'ormation on )is :B9 Credit Card even =)en ustomer are on t)e move. Sou =ou"d no= no "onger miss a pa*ment or e@)aust )is redit "imit =it)out a =arning. 4n e )is statement is generated> :B9 =i"" noti'* ustomer a.out t)e .a"an e status =it) pa*ment in'ormation. 9i'e )as never .een so easier.

(BL !ewards #ro$ram

A spe ia" .onus p"an t)at a""o=s ustomer to earn points ever* time ustomer use )is Card> :ver* (k. !0 t)at ustomer spend earns ustomer 1 point. ()e redemption o' re=ard points an .e done against t)e produ ts> servi es in t)e re=ards ata"ogue. ()e enro""ment is 'ree. :B9 are preparing t)e re=ards "isting and s)a"" mai" ustomer t)e ata"ogue =it) program detai"s as soon as it is "aun )ed.

Self+set Limit
23

:B9 Credit Card is t)e on"* Card t)at a""o=s ustomer to pre/de'ine )is o=n redit "imits. Sou an re;uest 'or a "imit "o=er t)an =)at ustomer are e"igi."e 'or. Sou an even preset t)e mont)"* spending "imits on t)e -upp"ementar* Cards. An* transa tions over t)e spe i'ied J-pend 9imitJ =i"" .e de "ined. ()is mont)"* spending "imit an .e reset ever* .i""ing * "e .* <ust a""ing t)e :B9 24/)our Cards Center and p"a e )is re;uest =it) t)e Customer -ervi e :@e utive. His spend "imit =i"" .e )anged on/"ine and ome in to 'or e 'rom t)e ne@t .i""ing * "e.

Limited Lost Card Lia)ilit

&n ase t)e Card is "ost or sto"en> a"" t)e :B9 24/)our Cards Center and report t)e "oss o' )is Card. A ne= Card =i"" .e sent to ustomer =it)in %2 )ours o' reporting t)is "oss. Sou are prote ted 'rom an* 'inan ia" "ia.i"it* arising out o' transa tions done on )is missing Card> 'rom t)e time ustomer report t)e "oss to us.

,-+hour Cards Center

()e :B9 24/)our Cards Center is e;uipped =it) a state/o'/t)e/art s*stem t)at ensures )is ;ueries .eing )and"ed e''i ient"* and prompt"*. $or an* ard/re"ated ;uer* or in'ormation> a"" ustomer need to do is dia" 9!%1%#0 or 9!%1%%! :@t. 120B130

24

1.12

)ees 9 Cha/ges e:c"uding &,T; a"" in +DT

LOCAL CLASSIC LOCAL GOLD DUAL CLASSIC DUAL GOLD

Card Issuance Fee

1,300

2,500

1,300

2,500

Card Issuance Fee - Supplementary Card Renewal Fee - Any Supplementary Card* Card Replacement Fee !IN Replacement Fee

1,300 NIL 300 150

2,500 NIL 500 300

1,300 NIL 00 200

2,500 NIL 500 00

F"nance C#ar$e %n all &ransact"%ns 'per m%nt#( +alance &rans,er Interest 'per m%nt#( Interest %n ./cess %, L"m"t Am%unt 'per m%nt#( Late !ayment Fee '+1&( Late !ayment Fee '2(

2)50* 1)-3* 2)02* 00 3

2)50* 1)-3* 2)02* 00 3

2)50* 1)-3* 2)02* 00 2 10

2)50* 1)-3* 2)02* 500 2 10

Cas# Ad4ance Fee '+1& 5 w#"c#e4er #"$#er( Cas# Ad4ance Fee '2( +alance &rans,er Fee 1upl"cate Statement Fee '+1&( Returned C#e6ue Fee '+1&( Sales 7%uc#er Retr"e4al Fee Cert","cate Fee ./p"red Card !r"nt"n$ C#ar$e8!last"c Fee '.4ery 2 9ears, ", t#e card "s "n :er% renewal m%de( R"s; Assurance Fee '+1&( F"rst Card C#e6ue +%%; 5 12 Lea4es Card C#e6ue +%%; Fee 12 lea4es '+1&( Card C#e6ue +%%; Fee 25 lea4es '+1&( Card C#e6ue !r%cess"n$ Fee '+1&( Statement <y .ma"l - S=a"l Ser4"ce

3* %r 100 3 1* 300 200 200 200

3* %r 100 3 1* 300 200 200 200

3* %r 100 3* %r 25 1* 300 200 200 200

3* %r 100 3* %r 25 1* 300 200 200 200

100

100

100

100

0)35* Free 150 250 1* Free

0)35* Free 150 250 1* Free

0)35* Free 150 250 1* Free

0)35* Free 150 250 1* Free

*Su<>ect t% m"n"mum 1- transact"%ns "n a year 15* 7A& appl"ca<le %n all ,ees and c#ar$es

28

2)

(roject (art

30

..0 Statistica" ,na"ysis

1.1 Objectives of this 7a/t
&n t)is part & =i"" do m* statisti a" ana"*ses on t)e data & )ave o""e ted on :B9 ards. & =i"" primari"* 'o us on t)e 'o""o=ing ourses o' a tions. At 'irst & =i"" s)o= =)at t)e varia."es in m* ana"*sis are and =)* t)e* are important. & =i"" present t)e data s)eet on t)e varia."es on =)i ) & =i"" do m* statisti a" ana"*ses. M* 'irst ourse o' a tion =i"" .e to s)o= some des riptive statisti s o' t)e varia."es a"ong =it) grap)i a" representations o' t)e varia."es. 0it) t)e data> & =i"" ondu t estimations o' popu"ation means o' ea ) o' t)e varia."es using on'iden e "eve" te )ni;ue. & =i"" t)en ana"*8e t)e dependent varia."e. $ina""* & =i"" s)o= t)e mu"tip"e "inear regression mode" and arr* out $/test> Dur.in 0atson auto orre"ation test and individua" t/test 'or .eta oe''i ients. orre"ation among t)e independent varia."es =it) t)e

31

1.1#

The &a/iab"es in %y ,na"ysis

&n t)is se tion & am going to des ri.e =)at t)e varia."es are and =)at do t)e* mean. Credit Card -a"es O ()e* re'"e t t)e num.er o' redit ard sa"es in t)e mont) o' Ma* 200+. ()is is t)e main dependent varia."e o' m* mode". ()e 'o""o=ing are t)e independent varia."es in m* stud*. De.it Card -a"es O ()e* re'"e t t)e num.er o' de.it ard sa"es in t)e mont) o' Ma* 200+. 3e= Deposits 4pened O ()e* re'"e t t)e num.er o' ne= deposit a ounts opened in t)e mont) o' Ma* 200+. 3e= 9oan A ounts O ()e* indi ate t)e num.er o' ne= "oan a ounts opened in t)e mont) o' Ma* 200+. Deposit Kro=t) Rate O &t re'"e ts t)e deposit gro=t) rate in per entage 'rom Apri" to Ma* 200+. 9oan Kro=t) Rate O &t s)o=s t)e "oan gro=t) rate in per entage 'rom Apri" to Ma* 200+. Dire t -a"es (eam O &t s)o=s t)e num.er o' dire t sa"es team in ea ) .ran ) in Ma* 200+

32

,ermanent -ta'' O &t s)o=s t)e num.er o' permanent sta'' enro""ed in ea ) .ran ) in Ma* 200+.

1.1.

Data Sheet
Be'ore starting t)e ana"*sis> & =i"" present t)e data s)eet on =)i ) & =i"" ondu t t)e

statisti a" ana"*sis. As & )ave stated in t)e .eginning o' m* report> & =i"" ana"*8e =)et)er some o' t)e 'a tors su ) as ne= deposit a ounts> dire t sa"es team num.er> de.it ard sa"es et . in'"uen e t)e sa"e o' redit ards. ()e 'o""o=ing is t)e data s)eet.
$re 1it $ar 1s 11( 1(0 131 )3 223 223 233 180 213 133 34 11( 11( Deb it $ar 1s 0 34 10 (1 34 241 104 12 31 3) 1(4 (8 0 %e2 De3osit s "3ene1 203 110 134 1(( 81 0 )1 128 )3 13( ( 118 10( %e2 Loans "3ene 1 23 21 (2 14 ) 12 3 11 0 10 2 3 1( De3osit ,ro2th in Ta4a 567 '0.(3 3.02 3.(1 3.3( 2.0( 1.18 1.(3 1.2) 1).13 0.12 2.38 1.2) 2.21 Loan ,ro2th in Ta4a 567 1.13 2.28 0.2( 0.33 0.32 0.1( 0.0( 0.44 1.28 1.03 0.12 0.)2 0.11 (erm anen t Staff 13 1( 11 10 1) 13 20 13 21 12 ) 10 11 33

ran ch OR Nizam Sonar gaon Road Motijh eel Banan i Gulsh an Dhan mondi Princi pal Uttara Agrab ad Shanti nagar ha! "bajar Nara# angon j $ubile e Road

Direct Sales Team ) 10 4 ) 11 13 8 ) 8 4 3 ) 4

Sham ol# Statio n Road Mirpur %nglis h Road hand gaon Panch laish Bashu ndhar a &huln a Moul'i bazar Rajsh ahi Upash ahar Bogra &hatu nganj Bis!a nath houh atta $essor e Raoza n

1(2 1(1 123 108 )3 )3 1(( 32 32 11 1) 33 33 31 31 12 (8

31 14 14 33 18 10 48 1 3 114 3 3( 18 (4 2) 2 1(

)1 121 30 0 13 113 112 122 (3 8( 31 42 18 12 3) 3) (2

4 1 0 12 3 13 ( ) 1 3 ( ( 0 2 0 ( 8

2.11 0.(2 0.(3 '0.33 2.41 2.02 1.21 1.84 '0.88 0.1 3.44 0.41 0.14 0.33 0.1) 0.1 0.3

0.21 0.31 0.12 0.(( '0.2( 0.3( 0.31 0.34 0.48 0.)2 0.33 '0.13 0.34 0.0) '0.08 0.22 '0.44

3 10 4 10 3 4 ) 1 4 3 1 1 3 3 1 3 3

12 13 8 11 8 10 11 ) 10 8 ) 8 3 3 8 4 )

As =e an see> t)e data )ave .een arranged a ording to .ran )es o' :astern Bank 9td. As t)ere are 30 .ran )es> t)ere are 30 o.servations 'or ea ) set o' varia."es. ()ese data are o' Ma* 200+. ()e redit ard sa"es num.er =i"" .e t)e dependent varia."e in m* regression ana"*sis and t)e rest seven 'a tors are m* independent varia."es. 0it) t)is t)ing into a ount> & =i"" do t)e a" u"ations in t)e regression ana"*sis part. Besides & =i"" a"so do estimation o' popu"ation mean> ana"*sis o' varian e> va"idit* test =it) on'iden e "eve" o'

3(

90N> dur.in/=atson test. ()ere =i"" .e some des riptive statisti s a"so .ut t)e* are not t)e main 'o us o' t)is report.

1.11

+asic Desc/i7tive Statistics

&t is important to kno= some o' t)e .asi des riptive statisti s o' t)e varia."es t)at &

am in "uding in m* mode". A"t)oug) t)e* are not t)e ke* 'o us o' t)is report as in'erentia" statisti s are> nevert)e"ess t)e* are ver* important in kno=ing t)e entra" tenden * o' t)eir distri.ution and a"so t)e degree o' dispersion. 7nderstanding su ) statisti s )e"p us to determine t)e ske=ness o' t)e distri.ution o' t)e varia."es and )en e =i"" )e"p us in'er more a.out t)e distri.ution o' t)e popu"ation means.
Descriptive Statistics in a shapshot Debit New New Direct Deposit Card Deposit Loan

Credit Card N ean edian Std" Deviation Percentiles #$ $% &$ Valid issin! Sales 30 0 120.20 115.50 !0.1!8 !2.00 115.50 154.00

Loan Permanent Staff 30 0 11.33 10.00 3. 51 8.00 10.00 13.25

Sales Growth Growth Team Rate 30 30 0 0 7.50 2.11 3 7.00 1.2700 2.013 3.!4780 !.00 7.00 .00 .3225 1.2700 2.5525 Rate 30 0 .4 03 .4750 .5 5 3 .1350 .4750 .7725

Sales Accounts Accounts 30 30 30 0 0 0 53.13 84.87 8.73 4!.00 87.50 !.00 57.108 53.0 5 .040 17.00 4!.00 !2.50 41.25 87.50 121.25 2.75 !.00 12.00

As =e an see & )ave s)o=n t)e mean> median> standard deviation and ;uarti"es o' ea ) o' t)e eig)t varia."es. ()e mean and median s)o=s us t)e entra" tenden * and t)e standard deviation s)o=s us t)e dispersion. $or e@amp"e> redit ard sa"es varia."e )as )ig)

31

degree o' dispersion due to )ig) standard deviation ompared to varia."es su ) as permanent sta''> =)i ) )ange ver* s"o="* 'rom t)e mean va"ue.

1.14

=/a7hica" Re7/esentation of 'ach &a/iab"e

,. C/edit Ca/d Sa"es ()e 'o""o=ing is t)e 're;uen * ta."e o' redit ard sa"es 'igure. -in e a"" t)e va"ues are numeri a" va"ue> t)e 're;uen * ta."e is ;uite "arge.
're(uenc) Table of Credit Card Sales 're(uenc) Percent Valid Percent 1 1 1 1 2 2 1 1 1 3 1 1 1 1 1 1 1 3 1 1 1 2 1 30 3.3 3.3 3.3 3.3 !.7 !.7 3.3 3.3 3.3 10.0 3.3 3.3 3.3 3.3 3.3 3.3 3.3 10.0 3.3 3.3 3.3 !.7 3.3 100.0 3.3 3.3 3.3 3.3 !.7 !.7 3.3 3.3 3.3 10.0 3.3 3.3 3.3 3.3 3.3 3.3 3.3 10.0 3.3 3.3 3.3 !.7 3.3 100.0

Value 48 52 55 5 !1 !2 !3 !! !7 ! 108 123 131 140 141 142 144 154 1!3 180 21! 223 2!! "otal

Cumulative Percent 3.3 !.7 10.0 13.3 20.0 2!.7 30.0 33.3 3!.7 4!.7 50.0 53.3 5!.7 !0.0 !3.3 !!.7 70.0 80.0 83.3 8!.7 0.0 !.7 100.0

Inte/7/etation of Cha/t3 ()e 'o""o=ing .ar )art in t)e ne@t page i""ustrates t)e redit ard sa"es 'igure a ording to per entage .* .ran ). 0e an "ear"* see t)at redit ards are most"* so"d in ,rin ip"e .ran ) in Di"kus)a> D)anmondi and Ku"s)an =it) sa"es per entage o' around %N> #N and #N respe tive"*. ()is i""ustrates t)e main targeted market o' t)e redit ards.
33

+. Debit Ca/d Sa"es ()e 'o""o=ing is t)e 're;uen * ta."e o' redit ard sa"es 'igure. -in e a"" t)e va"ues are numeri a" va"ue> t)e 're;uen * ta."e is ;uite "arge.
're(uenc) Table of Debit Card Sales 're(uenc) Percent Valid Percent 2 1 2 1 2 1 1 1 1 1 1 !.7 3.3 !.7 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 !.7 3.3 !.7 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3

Values 0 2 3 5 17 18 2 31 33 34 37

Cumulative Percent !.7 10.0 1!.7 20.0 2!.7 30.0 33.3 3!.7 40.0 43.3 4!.7

34

45 47 48 50 52 54 58 !1 !7 ! 78 107 147 157 275 "otal

1 1 1 2 1 1 1 1 1 1 1 1 1 1 1 30

3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0

3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0

50.0 53.3 5!.7 !3.3 !!.7 70.0 73.3 7!.7 80.0 83.3 8!.7 0.0 3.3 !.7 100.0

()e 'o""o=ing )art i""ustrated t)e de.it ard sa"es 'igure a ording to per entage .* .ran ).

38

Inte/7/etation of Cha/t3 &' =e "ook at t)e per entage o' de.it ard sa"es> t)e )ig)est on en entration is in D)anmondi =)i ) is around 1%N and it is not surprising onsidering t)e market 'or de.it ards t)ere. C. Ne? De7osit ,ccounts ()e 'o""o=ing is t)e 're;uen * ta."e o' ne= deposit a ounts.
're(uenc) Table of New Deposit Accounts 're(uenc) Percent Valid Percent 2 1 1 1 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 30 !.7 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0 !.7 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0

Values 0 4 12 31 3 42 43 5! 58 !0 72 81 84 1 3 5 104 112 113 118 121 122 128 144 150 1!4 1!7 203 "otal

Cumulative Percent !.7 10.0 13.3 1!.7 23.3 2!.7 30.0 33.3 3!.7 40.0 43.3 4!.7 50.0 53.3 5!.7 !0.0 !3.3 !!.7 70.0 73.3 7!.7 80.0 83.3 8!.7 0.0 3.3 !.7 100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e doug)nut )art in t)e ne@t page> =e an see t)at t)e )ig)est per entage o' ne= deposit a ounts is opened in 4 R 3i8am .ran ) 2+N5 'o""o=ed .* Moti<)ee" Bran ) 2%N5. ()e "o=est per entage .e"onged to :ng"is) Road Bran ) =it) 0N in t)e mont) o' Ma* 200+.
3)

D. Ne? $oan ,ccounts ()e 'o""o=ing is t)e 're;uen * ta."e o' ne= "oan a ounts.
're(uenc) Table of New Loan Accounts 're(uenc) Percent Valid Percent 4 1 2 1 4 1 3 1 1 2 1 1 2 1 1 1 1 1 1 13.3 3.3 !.7 3.3 13.3 3.3 10.0 3.3 3.3 !.7 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 13.3 3.3 !.7 3.3 13.3 3.3 10.0 3.3 3.3 !.7 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3

Values 0 1 2 3 4 5 ! 7 8 10 11 12 14 1! 17 23 25 42

Cumulative Percent 13.3 1!.7 23.3 2!.7 40.0 43.3 53.3 5!.7 !0.0 !!.7 70.0 73.3 80.0 83.3 8!.7 0.0 3.3 !.7 100.0

(0

"otal

30

100.0

100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e )art> =e an see t)at t)e )ig)est per entage o' ne= "oan a ounts is opened in Moti<)ee" .ran ) 'o""o=ed .* -onargaon Road Bran ). ()e "o=est per entage .e"onged to Agra.ad> Mirpur> C)ou)atta and A)atungan< Bran )es =it) 0N in t)e mont) o' Ma* 200+.

'. Di/ect Sa"es Tea%s

(1

()e 'o""o=ing is t)e 're;uen * ta."e o' dire t sa"es team num.ers in .ran )es.
're(uenc) Table of Direct Sales Team 're(uenc) Percent Valid Percent 4 8 ! 2 5 3 1 1 30 13.3 2!.7 20.0 !.7 1!.7 10.0 3.3 3.3 100.0 13.3 2!.7 20.0 !.7 1!.7 10.0 3.3 3.3 100.0

Values 5 ! 7 8 10 11 13 "otal

Cumulative Percent 13.3 40.0 !0.0 !!.7 83.3 3.3 !.7 100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e )art> =e an see t)at t)e )ig)est per entage o' dire t sa"es team is in Ku"s)an .ran ). ()e "o=est per entage .e"onged to man* Bran )es su ) as C)ou)atta> 7pas)ar et . in t)e mont) o' Ma* 200+.

). De7osit =/o?th Rate

(2

()e 'o""o=ing is t)e 're;uen * ta."e o' deposit gro=t) rate in .ran )es.
're(uenc) Table of Deposit Growth Rate 're(uenc) Percent Valid Percent 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 2 1 1 1 1 1 1 1 1 1 1 1 1 1 30 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 100.0

Values #.88 #.43 #.3! .10 .12 .1 .30 .33 .42 .4! .50 .57 .75 1.18 1.25 1.2 1.4! 1.87 2.02 2.04 2.21 2.51 2.!8 2.71 3.!4 3.77 !.02 !.41 1 .1! "otal

Cumulative Percent 3.3 !.7 10.0 13.3 1!.7 20.0 23.3 2!.7 30.0 33.3 3!.7 40.0 43.3 4!.7 50.0 5!.7 !0.0 !3.3 !!.7 70.0 73.3 7!.7 80.0 83.3 8!.7 0.0 3.3 !.7 100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e )art> =e an see t)at t)e )ig)est per entage o' deposit gro=t) rate is in Agra.ad .ran ). ()e "o=est per entage .e"onged to man* Bran )es su ) as 4 R 3i8am> :ng"is) Road et . in t)e mont) o' Ma* 200+.

(3

=. $oan =/o?th Rate ()e 'o""o=ing is t)e 're;uen * ta."e o' "oan gro=t) rate in .ran )es.
're(uenc) Table of Loan Growth Rate 're(uenc) Percent Valid Percent 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3 3.3

Values #.77 #.53 #.24 #.08 .04 .0 .12 .14 .21 .22 .24 .33 .35 .37 .44 .51 .52

Cumulative Percent 3.3 !.7 10.0 13.3 1!.7 20.0 23.3 2!.7 30.0 33.3 3!.7 40.0 43.3 4!.7 50.0 53.3 5!.7

((

.!2 .!3 .!4 .!5 .!7 .77 .78 . 2 1.03 1.28 1.5! 2.28 "otal

1 1 1 1 1 1 1 2 1 1 1 1 30

3.3 3.3 3.3 3.3 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 100.0

3.3 3.3 3.3 3.3 3.3 3.3 3.3 !.7 3.3 3.3 3.3 3.3 100.0

!0.0 !3.3 !!.7 70.0 73.3 7!.7 80.0 8!.7 0.0 3.3 !.7 100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e )art> =e an see t)at t)e )ig)est per entage o' "oan gro=t) rate is in -onargaon Road .ran ). ()e "o=est per entage .e"onged to Rao8an Bran ) in t)e mont) o' Ma* 200+.

(1

*. 6e/%anent Staff ()e 'o""o=ing is t)e 're;uen * ta."e o' permanent sta'' in .ran )es.
're(uenc) Table of Permanent Staff 're(uenc) Percent Valid Percent 2 1 5 4 4 2 2 3 1 2 1 1 1 1 30 !.7 3.3 1!.7 13.3 13.3 !.7 !.7 10.0 3.3 !.7 3.3 3.3 3.3 3.3 100.0 !.7 3.3 1!.7 13.3 13.3 !.7 !.7 10.0 3.3 !.7 3.3 3.3 3.3 3.3 100.0

Values ! 7 8 10 11 12 13 14 15 1! 1 20 21 "otal

Cumulative Percent !.7 10.0 2!.7 40.0 53.3 !0.0 !!.7 7!.7 80.0 8!.7 0.0 3.3 !.7 100.0

Inte/7/etation of Cha/t3 &' =e "ook at t)e )art> =e an see t)at t)e )ig)est per entage o' permanent sta'' is in Agra.ad .ran ). ()e "o=est per entage .e"onged to Bis=anat) Bran ) in t)e mont) o' Ma* 200+.

(3

1.15

'sti%ation of 6o7u"ation !eans

-in e t)ese data are on"* o' t)e mont) o' Ma* 200+> & =i"" .e using estimation

met)ods to identi'* t)e popu"ation mean o' t)e + varia."es t)at & am in "uding in m* statisti a" ana"*sis. Custification of using T>test instead of D>test3 -in e & do not kno= t)e varian e o' m* popu"ation> & =i"" .e using one-sample students t test instead o' 8/test to estimate t)e popu"ation means using 90N on'iden e "eve". ()e student?s t/test is per'e t over t)e 8/test in t)is ase sin e & annot simp"* assume t)at t)e popu"ation distri.ution is a"so norma".

1. Estimation of Credit Card Sales Population Mean $rom t)e data s)eet & )ave inserted t)e redit ard sa"es data and =it) 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,--.
*ne+Sample Test Test Value , -.% t #1.802 df 2 Si!" /#+tailed0 .082 ean Difference #1 .80

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' Credit Card -a"es is 140 2TU1405 lternati!e Hypothesis H": ,opu"ation Mean o' Credit Card -a"es is not 140 2TV1405

(4

Decision3 -in e t)e p/va"ue o' t)e t/test is .0+2 =)i ) is "ess t)an W U .10> =e =i"" .e re<e ting t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 140.
1%2 Confidence 3nterval of the Difference $o%er 101.53 Upper 138.87

'sti%ation of !ean by using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' redit ard sa"es is estimated to "ie in t)e range o' 101.!3X T X 13+.+% =it) 90N on'iden e "eve".

2. Estimation of Debit Card Sales Population Mean 7sing 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,-- .* using t)e va"ues 'rom t)e data s)eet.
*ne+Sample Test Test Value , 4% t #.!5 df 2 Si!" /#+tailed0 .515 ean Difference #!.87

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' De.it Card -a"es is #0 2TU#05 lternati!e Hypothesis H": ,opu"ation Mean o' De.it Card -a"es is not #0 2TV#05

(8

Decision3 -in e t)e p/va"ue o' t)e t/test is .!1! =)i ) is greater t)an W U .10> =e =i"" not .e re<e ting t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to #0.
1%2 Confidence 3nterval of the Difference $o%er 35.42 Upper 70.85

'sti%ation of !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' de.it ard sa"es is estimated to "ie in t)e range o' 3!.42X T X %0.+! =it) 90N on'iden e "eve".

3. Estimation of New Deposit Accounts Population Mean $rom t)e data s)eet & )ave inserted t)e de.it ard sa"es data and =it) 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,--.
*ne+Sample Test Test Value , 1% t #.530

df 2

Si!" /#+ ean tailed0 Difference .!00 #5.13

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' 3e= Deposit A ounts is 90 2TU905 lternati!e Hypothesis H": ,opu"ation Mean o' 3e= Deposit A ounts is not 90 2TV905

()

Decision3 -in e t)e p/va"ue o' t)e t/test is .# =)i ) is greater t)an W U .10> =e =i"" not .e re<e ting t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 90.
1%2 Confidence 3nterval of the Difference $o%er !8.4 Upper 101.34

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' ne= deposit a ounts is estimated to "ie in t)e range o' #+.4X T X 101.34 =it) 90N on'iden e "eve".

4. Estimation of New oan Accounts Population Mean 7sing 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,-- .* using t)e va"ues 'rom t)e data s)eet.
*ne+Sample Test Test Value , -% t #.7!7

df 2

Si!" /#+ ean tailed0 Difference .44 #1.27

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' 3e= 9oan A ounts is 10 2TU105 lternati!e Hypothesis H": ,opu"ation Mean o' 3e= 9oan A ounts is not 10 2TV105

10

Decision3 -in e t)e p/va"ue o' t)e t/test is .449 =)i ) is greater t)an W U .10> =e =i"" not .e re<e ting t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 10.
1%2 Confidence 3nterval of the Difference $o%er 5. 3 Upper 11.54

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' ne= "oan a ounts is estimated to "ie in t)e range o' !.93X T X 11.!4 =it) 90N on'iden e "eve".

!. Estimation of Direct Sales "eam Population Mean $rom t)e data s)eet & )ave inserted t)e de.it ard sa"es data and =it) 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,--.
*ne+Sample Test Test Value , -% t #!.803 df 2 Si!" /#+ ean tailed0 Difference .000 #2.50

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' Dire t -a"es (eam is 10 2TU105 lternati!e Hypothesis H": ,opu"ation Mean o' Dire t -a"es (eam is not 10 2TV105

11

Decision3 -in e t)e p/va"ue o' t)e t/test is .0 =)i ) is "ess t)an W U .10> =e =i"" .e re<e ting t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 10.
1%2 Confidence 3nterval of the Difference $o%er !.88 Upper 8.12

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' dire t sa"es team is estimated to "ie in t)e range o' #.++X T X +.12 =it) 90N on'iden e "eve".

#. Estimation of Deposit $rowt% &ate Population Mean 7sing 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,-- .* using t)e va"ues 'rom t)e data s)eet.
*ne+Sample Test Test Value , 5 t #1.322

df 2

Si!" /#+ ean tailed0 Difference .1 ! #.8807

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' Deposit Kro=t) Rate is 3N 2TU35 lternati!e Hypothesis H": ,opu"ation Mean o' Deposit Kro=t) Rate is not 3 2TV35

12

Decision3 -in e t)e p/va"ue o' t)e t/test is .449 =)i ) is greater t)an W U .10> =e =i"" not .e re<e ting t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 3.
1%2 Confidence 3nterval of the Difference $o%er . 877 Upper 3.25

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' deposit gro=t) rate is estimated to "ie in t)e range o' .9+%%X T X 3.2! =it) 90N on'iden e "eve".

'. Estimation of oan $rowt% &ate Population Mean $rom t)e data s)eet & )ave inserted t)e de.it ard sa"es data and =it) 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,--.
*ne+Sample Test Test Value , 5 t #23.0!!

df 2

Si!" /#+ ean tailed0 Difference .000 #2.50 7

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' 9oan Kro=t) Rate is 3N 2TU35 lternati!e Hypothesis H": ,opu"ation Mean o' 9oan Kro=t) Rate is not 3N 2TV35

13

Decision3 -in e t)e p/va"ue o' t)e t/test is .0 =)i ) is "ess t)an W U .10> =e =i"" .e re<e ting t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 3N.
1%2 Confidence 3nterval of the Difference $o%er .3055 Upper 3.!752

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' ne= "oan a ounts is estimated to "ie in t)e range o' .30!!X T X 3.#%!2 =it) 90N on'iden e "eve".

(. Estimation of Permanent Staff Population Mean $rom t)e data s)eet & )ave inserted t)e de.it ard sa"es data and =it) 90N on'iden e interva" "eve" and using student?s t distri.ution> & )ave ome up =it) t)e 'o""o=ing statisti a" output 'rom -,--.
*ne+Sample Test Test Value , -$ t #5.083 df 2 Si!" /#+ ean tailed0 Difference .000 #3.!7

*y7othesis Testing Null Hypothesis H0 : ,opu"ation Mean o' ,ermanent -ta'' is 1! 2TU1!5 lternati!e Hypothesis H": ,opu"ation Mean o' 9oan Kro=t) Rate is not 1! 2TV1!5

1(

Decision3 -in e t)e p/va"ue o' t)e t/test is .0 =)i ) is "ess t)an W U .10> =e =i"" .e re<e ting t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation mean is not e;ua" to 1!.
1%2 Confidence 3nterval of the Difference $o%er 10.11 Upper 12.5!

'sti%ation of 6o7u"ation !ean Using Confidence Inte/va"3 ()e resu"ts s)o= t)at t)e popu"ation mean o' ne= "oan a ounts is estimated to "ie in t)e range o' 10.11X T X 12.!# =it) 90N on'iden e "eve".

11

1.18

6ea/son 6/oduct>!o%ent Co//e"ation

()e 'o""o=ing ta."e s)o=s t)e ,earson produ t/moment orre"ation oe''i ient

.et=een a"" t)e varia."es in "uded in m* data s)eet. &n statisti s> t)e ,earson produ t/moment orre"ation oe''i ient 2sometimes re'erred to as t)e MC1 or ,MCC> and t*pi a""* denoted .* r5 is a ommon measure o' t)e orre"ation .et=een t=o varia."es X and Y .Ho=ever t)e 'o us is on"* t)e orre"ation .et=een t)e dependent varia."e DCredit Card -a"esE and t)e ot)er % varia."es. 0e kno= t)at orre"ation va"ues ranged .et=een /1 to Y1. 3egative one indi ates per'e t"* negative orre"ation =)i ) means t)e varia."es move in opposite dire tion and positive one indi ates per'e t"* positive orre"ation =)i ) means t)e 'a tors move in same dire tion. A orre"ation o' 8ero indi ates no "inear re"ations)ip .et=een t)e t=o varia."es .ut t)ere mig)t or mig)t not .e non/"inear re"ations)ip.

Correlations between all variables Credit Card Sales 1 . 30 .31 .08! 30 .335 .070 30 #.200 .2 0 30 .! 8'' .000 Debit New New Card Deposit Loan Sales Accounts Accounts .31 .335 #.200 .08! 30 1 . 30 #.257 .171 30 .003 . 8 30 .3 3 .032 .070 30 #.257 .171 30 1 . 30 .57! .001 30 .174 .357 .2 0 30 .003 . 8 30 .57! .001 30 1 . 30 .2 0 .120 Direct Deposit Loan Permanent Sales Growth Growth Staff Team Rate Rate .! 8'' #.323 #.28! .87 '' .000 30 .3 3 .032 30 .174 .357 30 .2 0 .120 30 1 . .082 30 .0!2 .747 30 .173 .3!0 30 .125 .50 30 .0!4 .73 .12! 30 #.033 .8!1 30 .555 .001 30 .317 .088 30 .3 5 .031 .000 30 .230 .222 30 .217 .24 30 .202 .283 30 .!50 .000

Credit &earson Card Sales Correlation (ig. )2# tailed* + Debit Card &earson Sales Correlation (ig. )2# tailed* + New &earson Deposit Correlation Accounts (ig. )2# tailed* + New Loan &earson Accounts Correlation (ig. )2# tailed* + Direct &earson Sales Correlation Team (ig. )2#

13

tailed* + 30 30 30 Deposit &earson #.323 .0!2 .173 Growth Correlation Rate (ig. )2# .082 .747 .3!0 tailed* + 30 30 30 Loan &earson #.28! #.033 .555 Growth Correlation Rate (ig. )2# .12! .8!1 .001 tailed* + 30 30 30 Permanent &earson .87 '' .230 .217 Staff Correlation (ig. )2# .000 .222 .24 tailed* + 30 30 30 '' Correlation is significant at the 0.01 le,el )2#tailed*. ' Correlation is significant at the 0.05 le,el )2#tailed*.

30 .125 .50 30 .317 .088 30 .202 .283 30

30 .0!4 .73 30 .3 5 .031 30 .!50 .000 30

30 1 . 30 .321 .084 30 .4!5 .010 30

30 .321 .084 30 1 . 30 .345 .0!2 30

30 .4!5 .010 30 .345 .0!2 30 1 . 30

()e 'o""o=ing ta."e is t)e most signi'i ant one and is e@tra ted 'rom t)e a.ove ta."e. &t s)o=s t)e orre"ation .et=een t)e on"* dependent varia."e> Z redit ard sa"es? and t)e ot)er seven varia."es. ()is is important as t)e orre"ation =i"" p"a* a 'a tor in t)e "inear regression mode".
Correlations between Credit Card Sales 6 other variables Credit Card Pearson Correlation Si!" /#+ tailed0 N Sales 1 . 30 Debit Card New New Loan Deposit Accounts #.200 .2 0 30 Direct Sales Team .! 8'' .000 30 Deposit Growth Rate #.323 .082 30 Loan Permanent Growth Rate #.28! .12! 30 Staff .87 '' .000 30

Sales Accounts .31 .335 .08! 30 .070 30

Inte/7/etation of Co//e"ation3 &' =e "ook at t)e orre"ation .et=een t)e independent varia."es and t)e dependent varia."es> =e an see t)at de.it ard sa"es> ne= deposit a ounts> dire t sa"es team and permanent sta'' )ave positive orre"ation =it) redit ard sa"es and ne= "oan a ounts> deposit gro=t) rate and "oan gro=t) rate )ave negative orre"ation =it) redit
14

ard sa"es. 4n"* permanent sta'' and dire t sa"es team )ave ver* )ig) orre"ation =it) redit ard sa"es> =)i ) proves one point t)at t)ese t=o varia."es p"a* a ver* important ro"e in t)e sa"es o' redit ard 'igures. A"" t)e ot)er varia."es )ave "o= to =eak orre"ation> =)i ) means t)e* s"ig)t"* or moderate"* in'"uen e t)e redit ard sa"es 'igure in eit)er positive or negative =a*. &n s)ort> t)e orre"ation <ust s)o=s t)e strengt) and dire tion .ut does not a tua""* ;uanti'* .* )o= mu ) t)ose varia."es =i"" in'"uen e t)e dependent varia."e. $or t)at =e )ave to go no= to mu"tip"e "inear regression mode". #ut for no$% correlation sho$s that direct sales team and permanent staff ha!e statistically strong influence on credit card sales.

1.18.1

*y7othesis Testing of 6o7u"ation Co//e"ations

". Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G De.it Card is 8ero 2[U05 lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G De.it Card is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .0+# =)i ) is greater t)an W U.0!> t)e popu"ation orre"ation is statisti a""* insigni'i ant and )en e =e do not re<e t t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

&. Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G 3e= Deposit A ounts is 8ero 2[U05
18

lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G 3e= Deposit A ounts is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .0+# =)i ) is greater t)an W U.0!> t)e popu"ation orre"ation is statisti a""* insigni'i ant and )en e =e do not re<e t t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

'. Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G 3e= 9oan A ounts is 8ero 2[U05 lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G 3e= 9oan A ounts is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .29 =)i ) is greater t)an W U.1> t)e popu"ation orre"ation is statisti a""* insigni'i ant and )en e =e do not re<e t t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

(. Null Hypothesis H0: ,opu"ation Corre"ation .et=een Credit Card G Dire t -a"es (eam is 8ero 2[U05 lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G Dire t -a"es (eam is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .00 =)i ) is "ess t)an W U.0!> t)e popu"ation orre"ation is statisti a""* signi'i ant and )en e =e re<e t t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

1)

). Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G Deposit Kro=t) Rate is 8ero 2[U05 lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G Deposit Kro=t) Rate is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .0+2 =)i ) is greater t)an W U.0!> t)e popu"ation orre"ation is statisti a""* insigni'i ant and )en e =e do not re<e t t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

*. Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G 9oan Kro=t) Rate is 8ero 2[U05 lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G 9oan Kro=t) Rate is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .12# =)i ) is greater t)an W U.0!> t)e popu"ation orre"ation is statisti a""* insigni'i ant and )en e =e do not re<e t t)e nu"" )*pot)esis and dis ard t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

+. Null Hypothesis H0 : ,opu"ation Corre"ation .et=een Credit Card G ,ermanent -ta'' is 8ero 2[U05

30

lternati!e Hypothesis H": ,opu"ation Corre"ation .et=een Credit Card G ,ermanent -ta'' is not 8ero 2[V05 Decision3 -in e t)e p/va"ue o' t)e orre"ation test is .00 =)i ) is "ess t)an W U.0!> t)e popu"ation orre"ation is statisti a""* signi'i ant and )en e =e re<e t t)e nu"" )*pot)esis and a ept t)e a"ternative )*pot)esis t)at t)e popu"ation orre"ation is not 8ero.

1.20

!u"ti7"e $inea/ Reg/ession !ode"

&n t)is part> & =i"" 'o us on reating a mu"tip"e "inear regression mode" in =)i ) t)e

redit ard sa"es =i"" .e dependent mode" and t)e rest =i"" .e independent mode". & )ave
31

a"read* s)o=n in t)e orre"ation part to determine in =)at =a* ea ) o' t)e independent varia."es a''e t t)e dependent varia."e. &n t)is regression mode"> & =i"" e@a t"* ;uanti'* .* mu ) t)e independent varia."es =i"" a''e t t)e dependent varia."e. 1.20.1 !ode" Su%%a/y
odel Summar) R R S(uare Ad7usted Std" 8rror R S(uare . 38 .880 .842 of the 8stimate 23. 38 Durbin+ 9atson 2.3!2

a &redictors- )Constant*. &er/anent (taff. +e% $oan Acco0nts. 1e2it Card (ales. $oan 3ro%th Rate. 1eposit 3ro%th Rate. +e% 1eposit Acco0nts. 1irect (ales "ea/ 2 1ependent 4aria2le- Credit Card (ales

Inte/7/etation of R sEua/e3 ()e mode" summar* s)o=s some important indi ators o' t)e e@p"aining po=er o' t)e mode". ()e R/s;uare va"ue s)o=s )o= mu ) )ange in t)e dependent varia."e is aused .* t)e independent varia."es. &n t)is ase a r/s;uare va"ue o' .++ or ++N means ++N o' t)e )ange in dependent varia."e is aused .* t)e seven independent varia."es. Inte/7/etation of ,djusted R>sEua/e3 4n t)e ot)er )and> t)e ad<usted r/s;uare va"ue s)o=s )o= mu ) )ange in t)e dependent varia."e is aused .* statisti a""* signi'i ant varia."es. -o in t)is ase> an ad<usted r/s;uare va"ue o' .+42 or +4.2N means t)at +4.2N o' t)e )ange in dependent varia."e is aused .* statisti a""* signi'i ant varia."es> =)i ) =i"" .e 'ound "ater in t)e report. ()e standard error o' t)e estimate measures t)e a ura * o' t)e predi tions =it)in t)e regression "ine> =)i ) is around 23.93+.

1.20.2

Du/bin>(atson Test
32

A ording to 0ikipedia. om> t)e Dur.in/0atson statisti is a test statisti used to dete t t)e presen e o' auto orre"ation in t)e residua"s 'rom a regression ana"*sis. &n statisti s> t)e auto orre"ation 'un tion 2AC$5 o' a random pro ess des ri.es t)e orre"ation .et=een t)e pro esses at di''erent points in time. ()e Dur.in 0atson va"ue ranges 'rom 0 to 4. A va"ue o' 2 indi ates t)ere appears to .e no auto orre"ation. &' t)e Dur.in/0atson statisti is

su.stantia""* "ess t)an 2> t)ere is eviden e o' positive seria" orre"ation. As a roug) ru"e o' t)um.> i' Dur.in/0atson is "ess t)an 1.0> t)ere ma* .e ause 'or a"arm. -ma"" va"ues o' d indi ate su essive error terms are> on average> "ose in va"ue to one anot)er> or positive"* orre"ated. 9arge va"ues o' d indi ate su essive error terms are> on average> mu ) di''erent in va"ue to one anot)er> or negative"* orre"ated.

()e test statisti o' Dur.in/0atson mode" is see =e use error va"ues a ording to time.
R R S(uare Ad7usted Std" 8rror R S(uare . 38 .880 .842 of the 8stimate 23. 38 Durbin+ 9atson 2.3!2

and )en e =e

()e Dur.in/0atson test statisti o' m* mode" is 2.3#2> =)i ) means t)ere is ver* "itt"e negative orre"ation among t)e varia."e. Ho=ever t)is is not a"arming as t)e va"ue is "ose o' 2> =)i ) signa"s it is "ose to no auto orre"ation.

1.20.

,na"ysis of &a/iance F,NO&,G ()e A341A ta."e s)o=s t)e tota" variation> t)e e@p"ained variation and t)e

une@p"ained variation 2residua"5 due to t)e error. ()e e@p"ained variation is denoted as --R
33

and t)e une@p"ained variation due to residua"s is denoted .* --:. ()e tota" variation 2--(5 is 1049+#.+ and variation e@p"ained .* regression 2--R5 is 923+0.42% and variation e@p"ained .* regression error --: is 12#0#.3%3. -o t)e e@p"aining po=er o' t)e regression mode" is good sin e --R is greater t)an --:. &' =e divide t)e --R =it) --(> =e get t)e va"ue o' r/ s;uare =)i ) =e )ave a"read* 'ound out to .e ++N.

AN*VA Sum of S(uares Re!ression 2380.427 Residual 12!0!.373 Total 104 8!.80 0 a &redictors- )Constant*. &er/anent (taff. +e% $oan Acco0nts. 1e2it Card (ales. $oan 3ro%th Rate. 1eposit 3ro%th Rate. +e% 1eposit Acco0nts. 1irect (ales "ea/ 2 1ependent 4aria2le- Credit Card (ales df ean ' 23.031 Si!" .000

S(uare 7 131 7.204 22 573.017 2

1.20.#

&a"idity of the !ode" by using )>Test3 ()e $/test> or an ana"*sis o' varian e> is used to test t)e magnitudes o' e@p"ained

variation 2--R5 and une@p"ained variation 2--:5 =it) t)eir appropriate degrees o' 'reedom. ()e )*pot)eses 'or t)e test are as 'o""o=s: Null Hypothesis H0 : Beta oe''i ients o' a"" independent varia."es )as 8ero va"ue lternati!e Hypothesis H": At "east 1 Beta oe''i ient o' independent varia."e )as non/8ero va"ue

3(

Decision3 ()e $/test s)o=s t)at t)e p/va"ue o' t)e test is 0N. -in e p/va"ue is "ess t)an W U 10N> =e =i"" re<e t t)e nu"" )*pot)esis t)at a"" o' t)e .eta oe''i ients )ave 8ero va"ue and a ept t)e a"ternate )*pot)esis t)at at "east 1 .eta oe''i ient )as non/8ero va"ue.

1.20..

Coefficients FHG of Inde7endent &a/iab"es

Coefficients :nstandardi;ed Coefficients 5 /Constant0 #82.284 Debit Card .1!8 Sales New Deposit .451 Accounts New Loan #1.1!1 Accounts Direct Sales !. 14 Team Deposit Growth #.28! Rate Loan Growth #21.10! Rate Permanent 10. 8! Staff Standardi;ed Coefficients 5eta .15 .3 8 #.174 .231 #.017 #.20 .721 t #4.210 1.825 3.!01 #1.84! 1.874 #.182 #2.0!8 !.048 Si!" .000 .082 .002 .078 .074 .857 .051 .000

(td. 6rror 1 .54! .0 2 .125 .!2 3.!8 1.573 10.20! 1.81!

1.20.1

Unstanda/di@ed !u"ti7"e $inea/ Reg/ession 'Euation befo/e Significance Test3

) *Credit Card Sales+ , -(2.2(4 . .1#(/1 *Debit Card Sales+ . .4!1/2 *New Deposit Accounts+ 0 1.1#1/3 *New $rowt% &ate+ . 12.1(#/' *Permanent Staff+ oan Accounts+ . #.114/ 4 *Direct Sales "eam+ - .2(#/! *Deposit $rowt% &ate+ 0 21.12#/# * oan

1.20.4

Inte/7/etation of Unstanda/di@ed +eta Coefficients

31

()e Beta 265

oe''i ients are t)e estimated

oe''i ients o' popu"ation varia."es.

7nstandardi8ed oe''i ients mean t)at t)e* in "ude t)e */inter ept in t)e regression e;uation> =)i ) is o'ten meaning"ess. 0)ere e"se> standardi8ed oe''i ients are used in standardi8ed regression e;uation =)i ) )as no */inter ept. De.it Card -a"es )as an unstandardi8ed .eta o' .1#+ =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in de.it ard sa"es t)e redit ard sa"es =i"" rise .* .1#+ units. 3e= Deposit A ounts )as an unstandardi8ed .eta o' .4!1 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= deposit a ounts> t)e redit ard sa"es =i"" rise .* .4!1 units. 3e= 9oan A ounts )as an unstandardi8ed .eta o' /1.1#1 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= "oan a ounts> t)e redit ard sa"es =i"" 'a"" .* 1.1#1 units. Dire t -a"es (eam )as an unstandardi8ed .eta o' #.914 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in dire t sa"es team> t)e redit ard sa"es =i"" rise .* #.914 units. Deposit Kro=t) Rate )as an unstandardi8ed .eta o' ./.2+# =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in deposit gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* .2+# units. 9oan Kro=t) Rate )as an unstandardi8ed .eta o' /21.10# =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in "oan gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* 21.10# units.

33

,ermanent -ta'' )as an unstandardi8ed .eta o' 10.9+# =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in permanent sta''> t)e redit ard sa"es =i"" rise .* 10.9+# units. ,!erall $e can see from unstandardi-ed e.uation that direct sales team and permanent staff hea!ily influence credit card sales.

1.20.5

Standa/di@ed !u"ti7"e $inea/ Reg/ession 'Euation befo/e Significance Test3

) *Credit Card Sales+ , .1!1/ 1 *Debit Card Sales+ . .31(/ 2 *New Deposit Accounts+ 0 .1'4/3 *New *Permanent Staff+ oan Accounts+ . .231/4 *Direct Sales "eam+ - . 21'/! *Deposit $rowt% &ate+ 0 .221/# * oan $rowt% &ate+ . .'21/'

1.20.8

Inte/7/etation of Standa/di@ed +eta Coefficients3

-tandardi8ed oe''i ients are used in standardi8ed regression e;uation =)i ) )as no */ inter ept> =)i ) is o'ten meaning"ess. De.it Card -a"es )as a standardi8ed .eta o' .1!9 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in de.it ard sa"es t)e redit ard sa"es =i"" rise .* .1!9 units. 3e= Deposit A ounts )as a standardi8ed .eta o' .39+ =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= deposit a ounts> t)e redit ard sa"es =i"" rise .* .39+ units.

34

3e= 9oan A ounts )as a standardi8ed .eta o' /.1%4 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= "oan a ounts> t)e redit ard sa"es =i"" 'a"" .* .1%4 units. Dire t -a"es (eam )as a standardi8ed .eta o' .231 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in dire t sa"es team> t)e redit ard sa"es =i"" rise .* .231 units. Deposit Kro=t) Rate )as a standardi8ed .eta o' /.01% =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in deposit gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* .01% units. 9oan Kro=t) Rate )as a standardi8ed .eta o' /.209 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in "oan gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* .209 units. ,ermanent -ta'' )as a standardi8ed .eta o' .%21 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in permanent sta''> t)e redit ard sa"es =i"" rise .* .%21 units. ,!erall $e can see from standardi-ed coefficient that ne$ deposit accounts% direct sales team and permanent staff hea!ily influence credit card sales.

1.20.10

T>test fo/ statistica" significance of individua" inde7endent va/iab"es3

Coefficients

:nstandardi;ed Coefficients 5 /Constant0 #82.284 Debit Card .1!8

(td. 6rror 1 .54! .0 2

Standardi;ed Coefficients 5eta .15

t #4.210 1.825

Si!" .000 .082

38

Sales New Deposit Accounts New Loan Accounts Direct Sales Team Deposit Growth Rate Loan Growth Rate Permanent Staff

.451 #1.1!1 !. 14 #.28! #21.10! 10. 8!

.125 .!2 3.!8 1.573 10.20! 1.81!

.3 8 #.174 .231 #.017 #.20 .721

3.!01 #1.84! 1.874 #.182 #2.0!8 !.048

.002 .078 .074 .857 .051 .000

,. The fi/st hy7othesis test fo/ coefficient of debit ca/d sa"es is3 Null Hypothesis H0: Beta oe''i ient o' de.it ard sa"es )as 8ero va"ue lternati!e Hypothesis H": Beta oe''i ient o' de.it ard sa"es )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0+25 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

+. The second hy7othesis test fo/ coefficient of ne? de7osit accounts is3 Null Hypothesis: H0 : Beta oe''i ient o' ne= deposit a ounts )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' ne= deposit a ounts )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0025 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

3)

C. The thi/d hy7othesis test fo/ coefficient of ne? "oan accounts is3 Null Hypothesis: H0 : +eta coefficient of ne? "oan accounts has @e/o va"ue lternati!e Hypothesis: H" : +eta coefficient of ne? "oan accounts has non>@e/o va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0%+5 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

D. The fou/th hy7othesis test fo/ coefficient of di/ect sa"es tea% is3 Null Hypothesis: H0 : Beta oe''i ient o' dire t sa"es team )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' dire t sa"es team )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0%45 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant. '. The fifth hy7othesis test fo/ coefficient of de7osit g/o?th /ate is3 Null Hypothesis: H0 : Beta oe''i ient o' deposit gro=t) rate )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' deposit gro=t) rate )as non/8ero va"ue Decision fo/ significance of Coefficients3 T)e nu"" )*pot)eses 2Ho5 is not re<e ted and a"ternative )*pot)esis is not a epted> sin e p/va"ue 2.+!%5 \ W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* insigni'i ant.
40

). The si:th hy7othesis test fo/ coefficient of "oan g/o?th /ate is3 Null Hypothesis: H0 : Beta oe''i ient o' "oan gro=t) rate )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' "oan gro=t) rate )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0!15 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

=. The seventh hy7othesis test fo/ coefficient of 7e/%anent staff is3 Null Hypothesis: H0 : Beta oe''i ient o' permanent sta'' )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' permanent sta'' )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0005 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant. 1.20.11 Unstanda/di@ed !u"ti7"e $inea/ Reg/ession 'Euation ,fte/ Significance Test3
) *Credit Card Sales+ , -(2.2(4 . .1#(/1 *Debit Card Sales+ . .4!1/2 *New Deposit Accounts+ 0 1.1#1/3 *New *Permanent Staff+ oan Accounts+ . #.114/ 4 *Direct Sales "eam+ 0 21.12#/# * oan $rowt% &ate+ . 12.1(#/'

1.20.12

Standa/di@ed !u"ti7"e $inea/ Reg/ession 'Euation ,fte/ Significance Test3

41

) *Credit Card Sales+ , .1!1/ 1 *Debit Card Sales+ . .31(/ 2 *New Deposit Accounts+ 0 .1'4/3 *New oan Accounts+ . .231/4 *Direct Sales "eam+ 0 . 221/# * oan $rowt% &ate+ . .'21/' *Permanent Staff+

1.20.1

Residua" Statistics

()e 'o""o=ing ta."e s)o=s t)e residua" statisti s.

Residuals Statistics inimum Predicted Value Residual Std" Predicted Value Std" Residual 34.10 #44. 7 #1.525 #1.87 a<imum 243.54 41.73 2.185 1.743 Std" Deviation 120.20 5!.441 .00 .000 .000 20.850 1.000 .871 ean N 30 30 30 30

a 1ependent 4aria2le- Credit Card (ales

Inte/7/etation of Residua" Statistics3 ()e a.ove ta."e s)o=s t)e ma@imum> minimum> mean and standard deviation o' residua" 'or .ot) standardi8ed and unstandardi8ed e;uation. As e@pe ted t)e mean o' t)e residua"s )ave turned out to .e 8ero. ()e 'o""o=ing ta."e s)o=s t)e residua"s 'or .ot) standardi8ed and unstandardi8ed regression mode". ()e residua"s )ave .een s)o=n 'or ea ) o' t)e .ran )es.
.nstan1ar1i'e1 )esi1uals '0.84111 '0.42)33 11.)3813 '32.23123 1.81043 10.40331 22.(14)) 20.13))( '4.(3()3 12.8(31) Stan1ar1i'e1 )esi1uals '0.033(1 '0.030(8 0.33182 '1.3(488 0.04431 0.((423 0.)3818 0.8(131 '0.3103 0.13334 42

'3.(4)81 2).3(((2 3.80)13 13.1403 '31.131() (1.43321 '23.0401( 13.183() '3.40038 '8.03108 '1).)3232 '11.83801 '33.2)188 3.03(18 '18.40001 13.33203 23.8)832 '3.24(1( 4.244(1 '((.)3813

'0.1(134 1.238( 0.11)1( 0.34113 '1.30012 1.4(3(1 '1.08)08 0.3)244 '0.24))1 '0.3311 '0.83238 '0.()14) '1.3)0)3 0.2120) '0.4811) 0.3)303 1.12338 '0.13348 0.30(02 '1.84813

1.20.1#

No/%a" 6/obabi"ity 6"ot ()e 'o""o=ing is t)e norma" pro.a.i"it* p"ot o' t)e regression mode". $rom t)e

diagram> =e an "ear"* see t)at t)e mode" 'its ni e"* a"ong t)e straig)t "ine. ()is means t)at t)e data set is norma""* distri.uted and t)at t)e mode" 'u"'i""s t)e norma"it* assumption.

43

+or/al &#& &lot of Regression (tandardi7ed Resid0al 1ependent 4aria2le- Credit Card (ales
1.00

.75

69pected C0/ &ro2

.50

.25

0.00 0.00 .25 .50 .75 1.00

82ser,ed C0/ &ro2

1.21

Revised !ode" afte/ Deducting Insignificant va/iab"es

()e revised mode" e@ "udes t)e deposit gro=t) rate varia."e as it )as .een 'ound to .e statisti a""* insigni'i ant. Hen e t)e mode" is re/run is -,-- =it)out using t)e independent varia."e in t)e e;uation.
4(

1.21.1

Revised !ode" Su%%a/y

odel Summar) odel 1 R R S(uare Ad7usted Std" 8rror R S(uare of the 8stimate . 38 .880 .848 23.42 Durbin+ 9atson 2.357

a &redictors- )Constant*. &er/anent (taff. +e% $oan Acco0nts. 1e2it Card (ales. $oan 3ro%th Rate. 1irect (ales "ea/. +e% 1eposit Acco0nts 2 1ependent 4aria2le- Credit Card (ales

Inte/7/etation of Revised R sEua/e3 ()e mode" summar* s)o=s some important indi ators o' t)e e@p"aining po=er o' t)e mode". ()e R/s;uare va"ue s)o=s )o= mu ) )ange in t)e dependent varia."e is aused .* t)e independent varia."es. &n t)is ase a r/ s;uare va"ue o' .++ or ++N means ++N o' t)e )ange in dependent varia."e is aused .* t)e seven independent varia."es. Inte/7/etation of Revised ,djusted R>sEua/e3 4n t)e ot)er )and> t)e ad<usted r/ s;uare va"ue s)o=s )o= mu ) )ange in t)e dependent varia."e is aused .* statisti a""* signi'i ant varia."es. -o in t)is ase> an ad<usted r/s;uare va"ue o' .+4+ or +4.+N means t)at +4.2N o' t)e )ange in dependent varia."e is aused .* statisti a""* signi'i ant varia."es> =)i ) =i"" .e 'ound "ater in t)e report. ()e standard error o' t)e estimate measures t)e a ura * o' t)e predi tions =it)in t)e regression "ine> =)i ) is around 23.93+.

1.21.2

Revised ,na"ysis of &a/iance F,NO&,G ()e A341A ta."e s)o=s t)e tota" variation> t)e e@p"ained variation and t)e

une@p"ained variation 2residua"5 due to t)e error. ()e e@p"ained variation is denoted as --R and t)e une@p"ained variation due to residua"s is denoted .* --:. ()e tota" variation 2--(5 is
41

1049+#.+ and variation e@p"ained .* regression 2--R5 is 923#1.43% and variation e@p"ained .* regression error --: is 12#2!.3#3. -o t)e e@p"aining po=er o' t)e regression mode" is good sin e --R is greater t)an --:. &' =e divide t)e --R =it) --(> =e get t)e va"ue o' r/ s;uare =)i ) =e )ave a"read* 'ound out to .e ++N.
AN*VA Sum of S(uares Re!ressi 23!1.437 on Residual 12!25.3!3 Total 104 8!.80 0 df ean S(uare ! 153 3.573 548. 2 ' 28.043 Si!" .000

23 2

a &redictors- )Constant*. &er/anent (taff. +e% $oan Acco0nts. 1e2it Card (ales. $oan 3ro%th Rate. 1irect (ales "ea/. +e% 1eposit Acco0nts 2 1ependent 4aria2le- Credit Card (ales

1.21.

Revised &a"idity of the !ode" by using )>Test3 ()e $/test> or an ana"*sis o' varian e> is used to test t)e magnitudes o' e@p"ained

variation 2--R5 and une@p"ained variation 2--:5 =it) t)eir appropriate degrees o' 'reedom. ()e )*pot)eses 'or t)e test are as 'o""o=s: Null Hypothesis H0 : Beta oe''i ients o' a"" independent varia."es )as 8ero va"ue lternati!e Hypothesis H": At "east 1 Beta oe''i ient o' independent varia."e )as non/8ero va"ue Decision3 ()e $/test va"ue o' 2+.043 s)o=s t)at t)e p/va"ue o' t)e test is 0N. -in e p/va"ue is "ess t)an W U 10N> =e =i"" re<e t t)e nu"" )*pot)esis t)at a"" o' t)e .eta oe''i ients )ave 8ero va"ue and a ept t)e a"ternate )*pot)esis t)at at "east 1 .eta oe''i ient )as non/8ero va"ue.

1.21.#

Revised +eta Coefficients

43

Coefficients :nstandardi;ed Coefficients 5 /Constant0 #82.705 Debit Card .1!! Sales New Deposit .453 Accounts New Loan #1.172 Accounts Direct Sales 7.217 Team Loan Growth #21.!8! Rate Permanent 10.800 Staff Standardi;ed Coefficients 5eta .157 .400 #.17! .241 #.215 .70 t #4.354 1.85! 3.704 #1. 13 2.240 #2.285 7.34! Si!" .000 .07! .001 .0!8 .035 .032 .000

(td. 6rror 18. 7 .08 .122 .!13 3.222 .4 1 1.470

a 1ependent 4aria2le- Credit Card (ales

1.21..

Revised Unstanda/di@ed !u"ti7"e $inea/ Reg/ession 'Euation befo/e Significance Test3

) *Credit Card Sales+ , -(2.'2! . .1##/1 *Debit Card Sales+ . .4!3/2 *New Deposit Accounts+ 0 1.1'2/3 *New Staff+ oan Accounts+ . '.21'/ 4 *Direct Sales "eam+ 0 21.#(#/ # * oan $rowt% &ate+ . 12.(/ ' *Permanent

1.21.1

Revised Inte/7/etation of Unstanda/di@ed +eta Coefficients3 oe''i ients are t)e estimated oe''i ients o' popu"ation varia."es.

()e Beta 265

7nstandardi8ed oe''i ients mean t)at t)e* in "ude t)e */inter ept in t)e regression e;uation> =)i ) is o'ten meaning"ess. 0)ere e"se> standardi8ed oe''i ients are used in standardi8ed regression e;uation =)i ) )as no */inter ept.
44

Constant Beta Coe''i ient o' /+2.%0! )as no meaning'u" interpretation and )en e it is not use'u" in t)e mode". De.it Card -a"es )as an unstandardi8ed .eta o' .1## =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in de.it ard sa"es t)e redit ard sa"es =i"" rise .* .1## units. 3e= Deposit A ounts )as an unstandardi8ed .eta o' .4!3 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= deposit a ounts> t)e redit ard sa"es =i"" rise .* .4!3 units. 3e= 9oan A ounts )as an unstandardi8ed .eta o' /1.1%2 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= "oan a ounts> t)e redit ard sa"es =i"" 'a"" .* 1.1%2 units. Dire t -a"es (eam )as an unstandardi8ed .eta o' %.21% =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in dire t sa"es team> t)e redit ard sa"es =i"" rise .* %.21% units. 9oan Kro=t) Rate )as an unstandardi8ed .eta o' /21.#+# =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in "oan gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* 21.#+# units. ,ermanent -ta'' )as an unstandardi8ed .eta o' 10.+ =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in permanent sta''> t)e redit ard sa"es =i"" rise .* 10.+ units. ,!erall $e can see from unstandardi-ed e.uation that loan gro$th rate% direct sales team and permanent staff statistically hea!ily influence credit card sales.

48

1.21.4

Revised

Standa/di@ed

!u"ti7"e

$inea/

Reg/ession

'Euation

befo/e

Significance Test3
) *Credit Card Sales+ , .1!'/1 *Debit Card Sales+ . .4/2 *New Deposit Accounts+ 0 .1'#/3 *New oan Accounts+ . .241/4 *Direct Sales "eam+ - .21!/# * oan $rowt% &ate+ . .'21/' *Permanent Staff+

1.21.5

Revised Inte/7/etation of Standa/di@ed +eta Coefficients3

-tandardi8ed oe''i ients are used in standardi8ed regression e;uation =)i ) )as no */ inter ept> =)i ) is o'ten meaning"ess. De.it Card -a"es )as a standardi8ed .eta o' .1!% =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in de.it ard sa"es t)e redit ard sa"es =i"" rise .* .1!% units. 3e= Deposit A ounts )as a standardi8ed .eta o' .4 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= deposit a ounts> t)e redit ard sa"es =i"" rise .* .4 units. 3e= 9oan A ounts )as a standardi8ed .eta o' /.1%# =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in ne= "oan a ounts> t)e redit ard sa"es =i"" 'a"" .* .1%# units. Dire t -a"es (eam )as a standardi8ed .eta o' .241 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in dire t sa"es team> t)e redit ard sa"es =i"" rise .* .241 units.

4)

9oan Kro=t) Rate )as a standardi8ed .eta o' /.21! =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in "oan gro=t) rate> t)e redit ard sa"es =i"" 'a"" .* .21! units. ,ermanent -ta'' )as a standardi8ed .eta o' .%09 =)i ) means t)at i' ot)er varia."es are )e"d onstant> t)en 'or ever* unit o' in rease in permanent sta''> t)e redit ard sa"es =i"" rise .* .%09 units. ,!erall $e can see from standardi-ed coefficient that ne$ deposit accounts% direct sales team and permanent staff statistically influence credit card sales.

1.21.8

Revised T>test fo/ statistica" significance of individua" inde7endent va/iab"es3

Coefficients

:nstandardi;ed Coefficients 5 /Constant0 #82.705 Debit Card .1!! Sales New Deposit .453 Accounts New Loan #1.172 Accounts Direct Sales 7.217 Team Loan Growth #21.!8! Rate Permanent 10.800 Staff

(td. 6rror 18. 7 .08 .122 .!13 3.222 .4 1 1.470

Standardi;ed Coefficients 5eta .157 .400 #.17! .241 #.215 .70

t #4.354 1.85! 3.704 #1. 13 2.240 #2.285 7.34!

Si!" .000 .07! .001 .0!8 .035 .032 .000

a 1ependent 4aria2le- Credit Card (ales

,. The fi/st hy7othesis test fo/ coefficient of debit ca/d sa"es is3 Null Hypothesis H0: Beta oe''i ient o' de.it ard sa"es )as 8ero va"ue

80

lternati!e Hypothesis H": Beta oe''i ient o' de.it ard sa"es )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0%#5 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

+. The second hy7othesis test fo/ coefficient of ne? de7osit accounts is3 Null Hypothesis: H0 : Beta oe''i ient o' ne= deposit a ounts )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' ne= deposit a ounts )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0015 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

C. The thi/d hy7othesis test fo/ coefficient of ne? "oan accounts is3 Null Hypothesis: H0 : +eta coefficient of ne? "oan accounts has @e/o va"ue lternati!e Hypothesis: H" : +eta coefficient of ne? "oan accounts has non>@e/o va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0#+5 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant. D. The fou/th hy7othesis test fo/ coefficient of di/ect sa"es tea% is3 Null Hypothesis: H0 : Beta oe''i ient o' dire t sa"es team )as 8ero va"ue
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lternati!e Hypothesis: H" : Beta oe''i ient o' dire t sa"es team )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.03!5 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

'. The si:th hy7othesis test fo/ coefficient of "oan g/o?th /ate is3 Null Hypothesis: H0 : Beta oe''i ient o' "oan gro=t) rate )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' "oan gro=t) rate )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0325 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant.

). The seventh hy7othesis test fo/ coefficient of 7e/%anent staff is3 Null Hypothesis: H0 : Beta oe''i ient o' permanent sta'' )as 8ero va"ue lternati!e Hypothesis: H" : Beta oe''i ient o' permanent sta'' )as non/8ero va"ue Decision fo/ significance of Coefficients3 T )e nu"" )*pot)eses 2Ho5 is re<e ted and a"ternative )*pot)esis is a epted> sin e p/va"ue 2.0005 X W 2)ere> WU.10 is t)e signi'i an e "eve"5. -o t)e .eta oe''i ient is statisti a""* signi'i ant. 1.21.10 Revised Unstanda/di@ed !u"ti7"e $inea/ Reg/ession 'Euation ,fte/ Significance Test3

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) *Credit Card Sales+ , -(2.'2! . .1##/1 *Debit Card Sales+ . .4!3/2 *New Deposit Accounts+ 0 1.1'2/3 *New Staff+ oan Accounts+ . '.21'/ 4 *Direct Sales "eam+ 0 21.#(#/ # * oan $rowt% &ate+ . 12.(/ ' *Permanent

1.21.11

Revised

Standa/di@ed

!u"ti7"e

$inea/

Reg/ession

'Euation

,fte/

Significance Test3
) *Credit Card Sales+ , .1!'/1 *Debit Card Sales+ . .4/2 *New Deposit Accounts+ 0 .1'#/3 *New oan Accounts+ . .241/4 *Direct Sales "eam+ - .21!/# * oan $rowt% &ate+ . .'21/' *Permanent Staff+

1.21.12

Revised Residua" Statistics

()e 'o""o=ing ta."e s)o=s t)e residua" statisti s.

Residuals Statistics inimum Predicted Value Residual Std" Predicted Value Std" Residual 34.32 #45.0 #1.522 #1. 25 a<imum 242.08 41.3 2.1!0 1.7!7 Std" Deviation 120.20 5!.435 .00 .000 .000 20.8!5 1.000 .8 1 ean N 30 30 30 30

a 1ependent 4aria2le- Credit Card (ales

Inte/7/etation of Residua" Statistics3 ()e a.ove ta."e s)o=s t)e ma@imum> minimum> mean and standard deviation o' residua" 'or .ot) standardi8ed and unstandardi8ed e;uation. As e@pe ted t)e mean o' t)e residua"s )ave turned out to .e 8ero.

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1.21.1

Revised No/%a" 6/obabi"ity 6"ot ()e 'o""o=ing is t)e norma" pro.a.i"it* p"ot o' t)e revised regression mode". $rom t)e

diagram> =e an "ear"* see t)at t)e mode" 'its ni e"* a"ong t)e straig)t "ine. ()is means t)at t)e data set is norma""* distri.uted and t)at t)e mode" 'u"'i""s t)e norma"it* assumption.

+or/al &#& &lot of Regression (tandardi7ed Resid0al 1ependent 4aria2le- Credit Card (ales
1.00

.75

69pected C0/ &ro2

.50

.25

0.00 0.00 .25 .50 .75 1.00

82ser,ed C0/ &ro2

1.0 )indings 9 Conc"usion

()e 'indings are t)e 'o""o=ing: ()e most important 'a tors t)at p"a* a signi'i ant ro"e in redit ard sa"es are permanent sta'' and dire t sa"es team. 4t)er t)an t)at> ne= deposit a ounts a"so )ave impa t on redit ard sa"es.

8(

()e origina" unstandardi8ed e;uation> =it) statisti a""* signi'i ant G insigni'i ant varia."es> is:
) *Credit Card Sales+ , -(2.2(4 . .1#(/ 1 *Debit Card Sales+ . . 4!1/2 *New Deposit Accounts+ 0 1.1#1/3 *New oan Accounts+ . #.114/4 *Direct Sales "eam+ - .2(#/! *Deposit $rowt% &ate+ 0 21.12#/# * oan $rowt% &ate+ . 12.1(#/' *Permanent Staff+

()e origina" standardi8ed e;uation> =it) statisti a""* signi'i ant G insigni'i ant varia."es> is:
) *Credit Card Sales+ , .1!1/ 1 *Debit Card Sales+ . .31(/ 2 *New Deposit Accounts+ 0 .1'4/3 *New &ate+ . .'21/' *Permanent Staff+ oan Accounts+ . .231/ 4 *Direct Sales "eam+ - .21'/! *Deposit $rowt% &ate+ 0 .221/# * oan $rowt%

()e revised unstandardi8ed e;uation> =it)out statisti a""* insigni'i ant varia."es> is:
) *Credit Card Sales+ , -(2.'2! . .1##/ 1 *Debit Card Sales+ . . 4!3/2 *New Deposit Accounts+ 0 1.1'2/3 *New 12.(/' *Permanent Staff+ oan Accounts+ . '.21'/4 *Direct Sales "eam+ 0 21.#(#/# * oan $rowt% &ate+ .

()e revised standardi8ed e;uation> =it)out statisti a""* insigni'i ant varia."es> is:
) *Credit Card Sales+ , .1!'/1 *Debit Card Sales+ . .4/2 *New Deposit Accounts+ 0 .1'#/3 *New Sales "eam+ Staff+ oan Accounts+ . .241/ 4 *Direct .21!/# * oan $rowt% &ate+ . .'21/' *Permanent

4.0 Reco%%endations
()e re ommendations are as 'o""o=s: Management s)ou"d 'o us on dire t sa"es team and permanent sta'' ;ua"it* to ensure good redit ard sa"es> as t)is )as .een statisti a""* proven.
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:B9?s management s)ou"d .e a=are o' negative in'"uen e o' ne= "oan a ounts and "oan gro=t) rate on sa"es o' redit ards as t)e* are ompeting produ ts.

Management s)ou"d a"so 'o us on ross se""ing o' redit ards to ne= deposit a ount )o"ders> as t)is =as a"so statisti a""* proven.

-tatisti a""*> 'a tors su ) as de.it ard sa"es or "oan a ounts p"a* "itt"e ro"e in redit ard sa"es and )en e ross se""ing in su ) ases must .e pra ti ed in "imited versions.

4t)er 'a tors mig)t a"so .e re"evant in redit ard sa"es. -o t)is report s)ou"d not .e onsidered as a .i."e 'or in reasing redit ard sa"es. Marketing strateg* and

environmenta" 'a tors a"so p"a* a ke* ro"e in t)e per'orman e o' redit ards.

+ib"iog/a7hy
1. :B9 Consumer ,er'ormeter Ma* 200+> pu."is)ed date: Mu"* 200+> :B9 Consumer Banking Division> D)aka. 2. Dur.in 0atson> 0ikipedia. om> <http://en.wikipedia.org/wiki/DurbinWatson_statistic>> a ess date: 20t) August> 200+.
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3. Dur.in 0atson (a."e> <http://hadm.sph.sc.edu/courses/J !"/Dw.htm#>> a ess date: 20t) August> 200+.
(. 9inear Regression> $a#i%ornia &tate 'ni(ersit) website*

<www.math.csusb.edu/%acu#t)/stanton/m+"+/regress/regress.htm#>> a ess date: 20th ,ugust* +--..

1. 9inear Regression> Sork 7niversit* =e.site> <www.stat.)a#e.edu/$ourses/!// /./!-!/#inreg.htm>( a ess date: 20th ,ugust* +--..

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