NORMS AND TRENDS IN NET EARNINGS 139

extends from the group 15.00-17.50 to the group 37.50-40.00; and
(3) the ratios are concentrated above the modal amount, the
positions of density being between 25.00 and 35.00. Accordingly,
 it may be said that out of each $100 of gross earnings
received, banks retain over and above their operating expenses
between $25 and $35.
The foregoing generalizations take little or no account of the
variations of the ratios in the different districts. Further analysis,
 with these in mind, is necessary.

CHART 35
Di1STRIBUTION OF YEARLY DisTRICT RATIOS OF NET EARNINGS TO
Gross EARNINGS, ALL MEMBER BANKS, 1919-1925

Percentage
Groups

L
t
=
=

3

Per Cent
10 15 20

15.00 and under 17.50
17.50 and under 20.00
20.C0 and under 22.50
22.50 and under 25.00
25.00 and under 27.50
27.50 and under 30.00
30.00 and under 32.50¢
32.50 and under 35.00
35.€0 and under 37.50
37.50 and under 40.00

RE —

en)

ere

wilt

25 Nu mae
' Casag

I
15
16

12

3

From Table 87, it is seen that the yearly ratios in the respective
 districts vary. But it is not apparent that there are uniformities
 in the variations. If the amounts, district by district,
are measured as deviations, plus and minus, from the seven-year
averages, it is found that the ratios were generally high in 1919,
1920, and 1921; low in 1924 and 1925; and mixed, high and
low, in 1922 and 1923. In the years called “high,” Philadelphia
 in 1919, and Richmond, Atlanta, and Dallas in 1921, are
the only exceptions; in those which are termed “low,” the one
exception is Atlanta in 1925. The mixed years show in general
that the ratios were high in regions east of the Mississippi River