1.

Earnings per Share:

Earnings per share (EPS) is the portion of a company's profit allocated to each outstanding share
of common stock. Earnings per share serves as an indicator of a company's profitability. EPS is
calculated as: EPS = (Net Income - Dividends on Preferred Stock) / Average Outstanding Shares.

Earnings per Share = Net Income⁄Shares Outstanding

Company Bank Alfalah

Years 2016 2015 2014

Profit after Tax 7899908 7522810 5,787,463

Shares Outstanding 1593898 15,898,062 15,872,427

Ratio 4.96 4.76 4.09

The EPS of Bank Alfalah is better in all years. It indicates the earnings earned on each share of
outstanding common stock of the bank. The highest EPS is in year 2016 in which it is 4.96 that
indicates the highest earning on behalf of each share of outstanding common stock. Overall EPS
of Bank Alfalah is favorable as it is of best interest of present and prospective stockholders and
management.
 6

4.96
5 4.76

4.09
4

0
2016 2015 2014

Earning per Share

The graph depicts the increasing trend in EPS of Bank Alfalah. In 2014, EPS is 4.09, in 2015 it
increases to 4.76 and in year 2016, EPS is 4.96 which shows better earnings per share among other
two years.
6

4.96
5 4.76

4.09
4

0
2016 2015 2014

Earning per Share

6.1.2. Accounts Department:

Accounts department is a backend department of Bank Alfalah, that performs the
following functions:

6.1.2.1. Reports:
It generates reports like Statement of Account Activity, Statement of Affairs,
Statement of Foreign Exchange and statement of Profit & Loss.
These reports can be generated at daily, weekly, monthly, quarterly or annually
basis as required by the bank.

6.1.2.2. Income and Expense:

The department also needs to calculate the revenues and expenses, control
expenditure and forecast profits every month.
6.1.2.3. Budget:
Formulation of yearly budgets and targets in consultation with the branch
manager is also done by the accounts department.

6.1.2.4. Activity Checking:

Daily activity checking and monitoring is also done by the accounts
department of the whole bank.

6.1.2.5. Storage of Records:

Accounts department also has the duty to store vouchers and system generated
reports of the bank.

6.1.2.6. Payments:
The accounts department is responsible to pay vendors on behalf of the bank
with authorization from the branch manager. It also has to amortize large
payments and calculate depreciation of branch assets.