INTERPRETATION

PUNJAB MAHARASHTRA BANK

Correlations

VAR00001 VAR00002

VAR00001 Pearson Correlation 1 .924**

Sig. (2-tailed) .003

N 7 7
VAR00002 Pearson Correlation .924** 1

Sig. (2-tailed) .003

N 7 7

The correlation of Punjab Maharashtra bank ( 0.924 ) depicts a positive correlation between net npa and
net profit which shows that and increase in net profit will lead to an increase in net npa .

IMPACT OF NET NPA ON NET PROFIT OF PUNJAB MAHARASHTRA BANK

HO: There is no significant impact of NPA on net profit of Punjab Maharashtra bank .

Adjusted R Std. Error of the

Model R R Square Square Estimate

1 .924a .853 .824 9.67364

ANOVAa

Model Sum of Squares df Mean Square F Sig.

1 Regression 2716.304 1 2716.304 29.027 .003b

Residual 467.897 5 93.579

Total 3184.200 6

a. Dependent Variable: net profit

b. Predictors: (Constant), net npa
On doing regression analysis we found that net profit and net NPA are positively correlated and their
relationship is very strong at 0.924 . R sq value (0.853), indicates that NPA has 85.3 % impact on the net
profit of the bank . The P-value of F-test is 0.003, which is less than the significant level of
0.05. Hence, the null hypothesis is rejected and it can be concluded that there is a significant impact of
NPA on Net Profit of Punjab Maharashtra bank .

NKGSB BANK
Correlations

VAR00001 VAR00002

VAR00001 Pearson Correlation 1 -.751*

Sig. (2-tailed) .032

N 8 8
VAR00002 Pearson Correlation -.751* 1

Sig. (2-tailed) .032

N 8 8

The correlation of NKGSB bank (-0.751) depicts a negetive correlation between net npa and net profit
which shows that and increase in net npa will lead to an decrease in netprofit.
IMPACT OF NET NPA ON NET PROFIT OF NKGSB BANK

HO: There is no significant impact of NPA on net profit of NKGSB bank.

Model Summary

Adjusted R Std. Error of the

Model R R Square Square Estimate

1 .830a .688 .637 28.27393

ANOVAa

Sum of
Model Squares df Mean Square F Sig.

1 Regression 8829491.226 1 8829491.226 7.777 .032b

Residual 6812193.116 6 1135365.519

Total 15641684.342 7

a. Dependent Variable: NET PROFIT

b. Predictors: (Constant), NET NPA

On doing regression analysis we found that net profit and net NPA are positively correlated and their
relationship is strong at 0.830. R sq value (0.688), indicates that NPA has 68.8% impact on the net profit
of the bank . The P-value of F-test is 0.032, which is less than the significant level of
0.05. Hence, the null hypothesis is rejected and it can be concluded that there is a significant impact of
NPA on Net Profit of NKGSB bank.
RAJKOT NAGRIK SAHAKARI BANK

Correlations

VAR00001 VAR00002

VAR00001 Pearson Correlation 1 .622

Sig. (2-tailed) .136

N 7 7
VAR00002 Pearson Correlation .622 1

Sig. (2-tailed) .136

N 7 7

The correlation of RNS bank (0.622) depicts a positive correlation between net npa and net profit which
shows that and increase in net profit will be followed by an increase in increase in net npa .

IMPACT OF NET NPA ON NET PROFIT OF RNS BANK

HO: There is no significant impact of NPA on net profit of RNS bank.

Model Summary

Adjusted R Std. Error of the

Model R R Square Square Estimate

1 .622a .387 .265 9.42487

ANOVAa

Model Sum of Squares df Mean Square F Sig.

1 Regression 280.555 1 280.555 3.158 .136b

Residual 444.141 5 88.828

Total 724.696 6

a. Dependent Variable: NET PROFIT

b. Predictors: (Constant), NET NPA
On doing regression analysis we found that net profit and net NPA are positively correlated and their
relationship is moderately strong at 0.622 . R sq value (0.387), indicates that NPA has 38.7% impact on
the net profit of the bank . The P-value of F-test is 0.136, which is more than the significant level of
0.05. Hence, the null hypothesis is accepted and it can be concluded that there is a no significant impact
of NPA on Net Profit of RNS bank.