The measurement of the qualitative charecteristics of the Income Statement between Dutch-Bangla Bank Limited and One Bank Limited

Essay by shoraezUniversity, Bachelor'sA+, February 2007

download word file, 24 pages 3.0


A lot of rigorous rules and regulations, regarding ways of appropriate financial reporting and proper format of various financial statements, have been set up by various regulatory bodies like Institute of Chartered Accountants of Bangladesh, Securities and Exchange Commission, Bangladesh Bank and other regulatory bodies in Bangladesh. However, whether the various companies in the country actually follow these instructions and formats properly is something to ponder on. Often, companies tend to overlook these rules and regulations which could inturn effect the information used by various interested users of these financial reports. Thus, the value of the firm and the wealth of the shareholders may also be affected. Most importantly the trust of investors, creditors and other interested users may be lost. Investors would not be willing to invest due to high risk related to misleading information; creditors would not be willing to lend long-term loans to the company, suppliers may not be willing to extend the credit time and ultimately other such actions would affect the working capital of the company.

Moreover, this could also affect the way a company will plan its present and future objectives and decisions. Past data may not be reliable enough, which would also hinder future forecasting. Thus it is important a proper reporting standard is maintained as per the requirements of the regulatory bodies.


This project basically portrays the income statement from 2002 to 2005 of two Bangladeshi banks namely ONE Bank Limited and Dutch-Bangla Bank Limited. A comparison will be made between the two income statements and the format stated by the regulatory bodies. The main stress will be to find out whether following the format has any effect on the profitability and the quality of the company.


*To find the necessary components included in the income statement.

*To find...