334 
BANKING STANDARDS 
TABLE 195 
AVERAGE NET CHANGE IN RATIOS OF NET EARNINGS TO EARNING As. 
SETS, 1924-1925, FOR MEMBER BANKS, BOSTON FEDERAL RESERVE 
District, CLASSIFIED BY DIRECTION OF CHANGE AND Posi- 
TION OF RATIOS OF TOTAL EXPENSE TO EARNING 
ASSETS, AND BY POSITION OF RATIOS OF 
Gross EARNINGS TO EARNING ASSETS¥* 
Ratios: 
Total Expense 
to 
Earning Assets 
AVERAGE NET CHANGE IN RATIOS OF NET 
EARNINGS TO EARNING ASSETS 
RATIOS: Gross Earnings to Earning Assets 
(Relative to the 1024 Average) 
Direction of 
Change, 
[024-102€ 
Increasing 
Decreasing 
Position 
Relative to the 
Average, 1024 
Above 
Below 
Above 
Below 
Above 
—_ 16 
54 
—.3% 
20 
+.10 
75 
+ 20 
Below 
- 
+ 24 
.Q7 
'.29 
40 
4.22 
Above or Below 
88 
- OI 
—.07 
IIL 
+.17 
124 
4 28 
Kc 
*The ratios which were the same as the averages in the respective series were distributed alternately 
ABOVE and BELow; while the ratios of total expense which made no change were counted alternately as 
org snie 2nd DECREASING. The figures in small type represent the number of banks to which the net 
change applies. 
than occur when gross earnings are increasing and ratios of total 
expense are differently placed with respect to their 1924 average. 
That is, in general, increasing ratios of gross earnings increase 
net earnings ratios more than do decreasing ratios of total ex- 
pense;® and decreasing ratios of gross earnings reduce them 
more than do increasing ratios of total expense. 
In Tables 194 and 195, account is taken of increases and of 
decreases in gross earnings and in total expense ratios separately, 
the paired series in the respective comparisons being classified by 
10 Compare the amounts in the lines of the upper section of Table 194 with 
those in the lines of the lower section of Table 195. 
41 Compare the amounts in the lines of the lower section of Table 194 with 
those in the lines of the upper section of Table 195.