Analytical Review of Income and Expense Comptroller's Handbook (Section 401)

This section is designed to assist the examiner in developing an overview of the financial condition and results of operations of a bank through the use of analytical review techniques. It also provides procedures to assist in evaluating the reasonableness and reliability of the bank's income and expense accounts.A general understanding of a bank's balance sheet, income and expense accounts, and the Uniform Bank Performance Report (UBPR) is necessary to analyze a bank's earnings performance effectively. Therefore, the bank's Reports of Condition and Income and the UBPR should be reviewed prior to, or in conjunction with, the review of this area.