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PART 1

BUSINESS COMMUNICATION SKILLS AIMS: The overall aim of this subject is to enhance the candidates’ abilities to communicate effectively, efficiently and confidently with colleagues, senior and subordinate persons, customers and stakeholders both formally and informally. The course is thus designed to assist candidates in:

understanding the nature and scope of communication and its role within the organization.

managing communication process effectively and enhancing communication process and improving interpersonal communication.

making effective pubic speeches/presentations and writing. improving communication with customers.

LINKAGE A basic course that prepares candidates for regular banking communication and understanding of other subjects. CONTENTS (1) INTRODUCTION:

(i) The nature, scope, importance, problems, prospects and meaning of communication.

(ii) The role of language, culture and environment in communication. (iii) An overview of the types of communication (Oral, Written, Behavioural);

their features, advantages and disadvantages. (iv) The communication process: elements, the relationship between them

and the proper management of each process. (2) INTERPERSONAL COMMUNICATION:

(i) The importance of interpersonal relations and communication. (ii) Listening: meaning, problems, how to enhance the listening skills (iii) Behavioural (non-verbal) communication: types, features and

optimization. (iv) Communication breakdown: nature, consequences, cause and

remediation. (v) Ensuring effective communication.

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(3) BUSINESS LETTERS:

(i) Types and features of business letters. (ii) Preparation write. (iii) Words, sentences, paragraphs. (iv) The complete letter: structure, forms and essentials. (v) Good news, bad news and routine letters. (vi) Reports, memos, minutes and other types of letters written in the office.

(4) PUBLIC SPEAKING/PRESENTATION:

(i) Types, circumstance and nature. (ii) Preparatory issues: topic, occasion, purpose audience research etc. (iii) Writing and organizing the paper. (iv) Presentation proper. (v) Feedback management. (vi) Use and abuse of support materials. (vii) Persuasive presentation.

(5) ORGANIZATIONAL COMMUNICATIONS:

(i) Importance and role of communication in organizations. (ii) Types and features of formal communication flows (advantages,

disadvantages and means of improvement. (iii) Informal communication flow: Gossips, rumours and the grapevine. (iv) Managing the external audience (v) Organizational communication and ICT. (vi) Improving organizational communications. (vii) Management of meetings. (viii) The use of telephone.

EXAMINATION STRUCTURE It is recommended that three questions be set covering the five sections of this curriculum. Candidates should, however, be expected to answer the question from section one (introduction to communication) two, and any other two. This makes it four questions out of five.

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REFERENCE TEXTBOOK 1. ADLER, R. B. & ELMHORST, J. M.(1996): Communicating at Work

(5th Edition) New York, McGraw Hill. 2. BEL-MOLOKOU, J. (1997): Business Communication Theory and Practice.

Lagos. Sef Patri Services 3. HAMILTON, C & PARKER, C. Communicating for Results: A Guide for

Business and Professions (4th Edition) Belmont, California: Wadsworth Publishing Company.

4. HAMILTON GREGORY: Public Speaking and College and Career

Mc Graw Hill 2002 5. I. K. MUO (2001): Fundamentals of Business Communication:

Lagos, Imposed Publishers. 6. JAMES, S. ODE I. & SOOLA, O. (1990): Introduction to Business

Communication: for Business and Organisations, Ibadan, Spectrum. 7. MBA SANNI, Business Communication, M & B Associates & SERO

Ltd., Lagos 2002

8. NDOLO I. S. (2001): Understanding Business Communication:

Lagos, Impressed Press

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PRINCIPLES OF ECONOMICS AIMS To expose candidates to basic principles of economics so as to enhance their knowledge and understanding of:

(i) The basic concepts in Economics and their applications. (ii) The structure, functions and operations of the various economic units and

institutions.

LINKAGES THE SUBJECT IS LINKED TO:

• Elements of Banking • Financial Economics • Management Theory and Practice

CONTENTS

(1) Meaning and Scope of Economics:

(i) Definition of economics (ii) Concepts of: wants, scarcity, choice, scale of preference and opportunity cost. (iii) Nature of economic activities – production, distribution and consumption.

(2) Price Theory:

(i) Concepts of demand and supply. (ii) Factors affecting demand and supply. (iii) The distinction between changes in quantity demand/supply and changes in

demand and supply. (iv) Law of demand/supply. (v) (a) Types of demand – composite, derived, joint & competitive

(b) Types of supply - joint/complementary, competitive & composite. (vi) Elasticities of demand and supply – definition, measurement, determinant,

types and applications.

(3) Price Determination:

(i) Concept of market. (ii) Equilibrium price and quantity determination (iii) Functions of the price system.

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(4) Theory of Production and Costs:

(i) Define production and production function. (ii) Factors of production – land, labour, capital and entrepreneurship (iii) Total, average and marginal productivities. (iv) Time horizon in production analysis (short-run & long-run) (v) Laws of production – increasing returns to scale, constant returns to scale,

decreasing returns to scale, returns to size and diminishing returns. (vi) Specialization and division of labour. (vii) Cost concepts – fixed cost, variable cost, total cost, AFC, AVC, AC, MC and

social cost. (viii) Breakeven analysis.

(5) Market Structure and Channels of Distribution:

(i) Concept of market. (ii) Perfectly competitive market – features and equilibrium analysis. (iii) Imperfect market: monopoly, oligopoly, monopolistic competition features and

equilibrium analysis. (iv) Sources and control of monopoly power. (v) Distribution channels – retailers, wholesalers & middlemen, supermarkets.

(6) Structure and Location of Industry:

(i) Concepts of firm and industry. (ii) Small and large firms and their features. (iii) Concepts of location and localization of industry. (iv) Advantages and disadvantages of industrial concentration.

(7) National Income:

(i) Concepts: GNP, GDP. (ii) Measurement techniques – output approach, income approach, expenditure

approach. (iii) Uses and limitations of national income estimates. (iv) Factors influencing the level of national income.

(8) Elements of Public Finance:

(i) Budget – government revenue and expenditure: its significance and role in the economy.

(ii) Budget types – surplus budget, deficit budget, balanced budget. (iii) Taxation – types, principles and functions.

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(9) Concept of Money:

(i) Money – definition, functions and characteristics. (ii) Demand and supply of money.

(10) International Trade, International Economic Organizations and Regional Groupings:

(i) Concept of international trade and difference between international trade and local trade.

(ii) The basis for international trade, theory of comparative cost and comparative advantage.

(iii) Advantages of international trade and obstacles to international trade. (iv) Arguments for and against trade protection. (v) International institutions and their functions: ADB, IMF, World Bank, (IBRD),

GATT, ECOWAS, EU, OPEC, ECA. EXAMINATION STRUCTURE Candidates are to answer five (5) out of Seven (7) questions. All questions carry equal marks. REFEREENCE TEXTBOOKS 1. HANSON, I. L. (1977) A Textbook of Economics, Estover: MacDonald & Evans. 2. JHINGAN, Advanced Economic Theory 12th Edition, Vrinda Publications (P)

Ltd. 2004 2. LIPSEY, R. G. & STEINER, P. O. (1984) Economics, 6th Edition: Harper & Row Publishers, New York. 3. LIPSEY, R. G. (1977): An Introduction to positive Economics (8th Edition) English Language Book Society, London. 4. OLADEJI, O. (2000): A Level Economics Textbook. Onibonoje, Ibadan. 5. ROTIMI AJIBOLA, Economics: Principles and Practices 2nd Edition

ROSCO ASSOCIATE 2004 6. SAMUELSON, P. A. & NORDHAUS, W. D. (2004): Economics. Mc Graw-Hill Publishing Co.

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INTRODUCTION TO FINANCIAL ACCOUNTING 1.0 AIMS

The primary interest of a Banker as a user and Interpreter of Financial Statements is considered in the design of the syllabus which is meant to introduce candidates to the basic accounting processes and systems that will enable them develop an appreciation of the role of accounting information and understanding of the basic concepts, methods and procedures followed in preparing simple financial statements. It is intended that at the completion of the programme, candidates should be able to understand basic accounting concepts and methods; record simple transactions of income and expenditure; credit transactions of goods and services; record simple payroll transactions; carry out simple cash and bank transactions and reconciliations; collect and collate information for completion of simple final accounts; prepare accounts from incomplete records and those of non profit-making organizations.

2.0 LINKAGES

Financial accounting at its introductory level will lay the foundation for further studies for the underslisted papers at later stages of the examinations of the institute: (i) Business Accounting (ii) Financial and Management Accounting (iii) Financial Management

3.0 CONTENTS

1. The Nature and Role of Accounting

- The History and development of accounting - The purpose of accounting - The users of accounting information - The various services provided by the accounting function to

an organization

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2. Fundamental Accounting Assumptions, Concepts and Conventions

- The entity and its owner - Money measurement - Matching, Realization, Accruals and Historical Cost - Going concern, consistency, Prudence and conservatism

3. The Accounting Records and Processes

- The types of business and source documents i.e. Invoice, statement, credit note, debit note, receipt, claims forms and remittance advices.

- The maintenance of books of prime (i.e. original) entries including journals and day books

- The concept of double entry - The cash book and petty cash book - The functions and structure of ledger Accounts

4. Extraction of Simple Trial Balance

- Suspense accounts - Errors and correction of errors - End of period adjustments - Provisions, prepayments and accruals

5. The Operations of Simple Accounting Controls in:

- Debtors and Creditors Control Accounts - Bank Reconciliation Statements - Treatment of Capital and Revenue items - Simple payroll procedures, calculations and control over

gross earnings, deductions and net payments, employee records, returns and payment methods and payroll authorization

6. Banking System and Services

- Cash and paying in documents and their uses - cheque and withdrawal documents and their uses - Inter bank transfers and transactions - Payable orders - Credit cards procedures

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- Cash security, cash book and preparation of simple bank reconciliations statements.

- Accounting for cash transactions, cash handling, patty cash

operations

7. Accounting for Assets and Liabilities

Fixed Assets - The types and characteristics of capital assets (tangible and

intangible assets - The distinction between capital and revenue expenditure - The nature and general principles of depreciation - Different methods of depreciation provision - Maintenance of the asset register

Current Assets: - Stocks, simple valuation of stocks and simple calculations of

stock losses - Debtors, bad debts and simple provisions for bad and

doubtful debts - Cash and bank balance.

Current and Long Term Liabilities:

- Bank overdrafts - Creditors and accruals - Debentures and Loans - Provisions and reserves

8. Use of Incomplete Records and the Preparation of Simple Final Accounts for Various Enterprises and Non-profit Organizations

- Receipt and payments accounts - Income and expenditure accounts - Debtors and creditor statements - Manufacturing, trading, profit and loss accounts and balance

sheets with simple adjustments - Accounting statements of non-profit making organizations.

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4.0 EXAMINATION STRUCTURE

Candidates are to answer four (4) out of six (6) questions. All question carry equal marks.

5.0 RECOMMENDED TEXT BOOKS

Anao, A. R.: An Introduction to Financial Accounting, Longman Nigeria 2004.

Essien, Peter B Accounting Foundation Cherub Co. Ltd. 2004

Favell A. J.: Book Keeping and Accounts, Bell and Hyman Limited, London

Igben, R. O.: Financial Accounting Made Easy, R. O. I. Publishers,

Lagos, 2004 Ifede, D & Obasesan:D. O. O. Accountancy for Banking Students,

Achievers Group, Lagos, 1995 Isimoya, D. G.: Book Keeping & Accounting, Management Science

Centre, Lagos 1990 Magee, C. C.: Framework of Accountancy, Macdonald & Evans

Ola C. S.: Accountancy for Examinations, Ibadan University Press, Ibadan 1986

Omolehinwa E.: Foundation of Accounting, Punmark Publishers, and

Lagos 1996 Wood, F.: Business Accounting, Volumes 1 & 2 Pitman London,

2004

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FURTHER READING C.I.B.N.: Chief Examiners Reports Dyson, J. R.: Accounting for Non-Accounting Students, Pitman

Publishers, London, 1991 Dodge, R.: Foundation of Business Accounting Chapman and Hall Etuk – Udo, J. B: Principles of Accounts for West African Book 1,

University of Ibadan, Ibadan Isimoya, D. G.: Principles of Accounting Q&A, Management Science

Centre, Lagos (1994) N.A.S.B.: Statement of Accounting Standards 1 & 2 Soyode, A.: Financial Accounting: Principles and Practice,

Graham Burn, 1982

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PART 11

BUSINESS LAW AND ETHICS AIMS

• To lay a solid foundation for further studies of Law, Ethics and Practice of Banking

• To appreciate the legal environment in which organization in general and the

banking professional in particular operate.

• To appreciate the legal implications of business relationships and the relevance of legal rules to banking business.

• To appreciate the basic ethical standards and principles required for the

effective management of the financial services. LINKAGES This subject is linked to:

• Elements of Banking • Law and Ethics of Bank

CONTENTS

SECTION A

(vi) LEGAL SYSTEM

(a) Sources of Nigerian Law- Statutes Law and Legislation, Received English Law (common law, doctrines of Equity, Statutes of General Application) Customary Law, Islamic Law.

(b) Nigerian Court System – Hierarchical Structure, Superior and Inferior

courts (states and federal specialized courts.) Independence of the judiciary and the administration of justice.

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(vii) INTRODUCTION TO LAW OF CONTRACT

Nature and characteristics of contracts, Types and formation of contracts; elements of validity, offer, acceptances; consideration, capacity; intention to create legal relation and formalities; vitiating elements in contracts-mistakes; misrepresentation; illegality; privity of contract, doctrine of estoppel; accord and satisfaction. Remedies for breach. Discharge of contracts. Specialized contracts.

2 AGENCY

Types and creation, rights and duties of principals an agents; relations of principals and agents to third parties, Bankers as agents; Termination of agency.

3 LAWS OF BUSINESS ASSOCIATIONS

Distinguishing features of partnership, formation and dissolution, registration of business names; partnership property and its application on dissolution, company law; formation; types of company; borrowing powers, authority of directors; types of shares, debentures; winding up of companies, classes of creditors in winding up.

4 NEGOTIABLE INSTRUMENTS

Characteristics of Negotiable Instrument. Types of Negotiable Instruments, Bill of Exchange, Promissory Note; Cheque.

SECTION B

5 NATURE OF ETHICS

Meaning of Ethics; importance of ethics to the financial services industry; Differences and similarities between Ethics/Law/Religion, Factors affecting the level of ethics in the finance service industry.

6 BASIC CONCEPTS IN ETHICS

Conflict of interests, Utilitarianism Altruism; Whistle-blowing, Confidentiality; Corporate Governance, Acceptance of gifts.

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7 FUNDAMENTAL PRINCIPLES OF BUSINESS MORALITY

Principle of solidarity; principle of fairness or impartiality; principle of efficiency; principle of integrity; principle of transparency; principle of accountability.

8 CORPORATE SOCIAL RESPONSIBILITIES

Responsibilities of the firm, social responsibility to the customers, stakeholders and the society, special responsibilities of managers, Code of conduct for Bankers.

9 LEGAL FRAMEWORK FOR ENSURING GOOD ETHICAL PRACTICES

Disclosure issues in Companies and Allied Matters Act (CAMA); Banks and Other Financial Institutions Act (BOFIA); Advance fee fraud and other related offence Act; The Money laundering Act; Failed banks and other financial malpractice in Banks Act.

EXAMINATION STRUCTURE

Candidates will be required to answer three (3) from four (4) questions in Section A and two (2) from three (3) questions in Section B. All questions carry equal marks.

RECOMMENDED TEXT BOOKS Adegboye Questions & Answers in Law Relating to Banking,

CIBN, Lagos, 1988 Adeniji, O A. Law and Practice of Banking in Nigeria, University of

Ile ife, Press, 2nd Edition 1995 Adeniji, O. A. Law Relating to Banking 2nd Edition CIBN Press, Lagos

1997 Adewunmi, W: Ethics in the Financial Services Business, CIBN Press,

Lagos 1990 Afolabi, L: Law and Practice of Banking Heineman

Books Nigeria Ltd. 2005

Charley, L. & Leading Cases in the Law of Banking Sweet &

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Smart, P. E. Maxwell, London, 1977. Companies and Allied Matters Decree 1 of 1990

Chorely Lord Law of Banking, Sweet & Maxwell, London 1990 Elegido,T. M. Fundamentals of Business Ethics, Spectrum books Ltd,

Ibadan, 2004 John, E. O. Questions & Answers in Law Relating to Banking, & Adeniji,O. A. CIBN, Lagos, 1988 CIBN Code of Ethics, Exchange Act. FURTHER READING Adekanye, F. Elements of Banking, Graham Burns, London, 1984 Adewunmi W. Money Lending, FITC, Lagos Banks and other Financial Institution Decree 1991 as amended 1998 CBN Decree 1991 as amended December 1998 The Chartered Institute of Bankers of Nigeria Decree No. 12, 1990 C. I. B. N Examination Report Foreign Exchange Monitoring and Miscellaneous Provision Decree 1995 Money Laundering Decree 1995 Advance Fee Fraud and Other Related Offences Decree 1995 etc. NOTE Candidates are expected to broaden their studies to include banking journals and related magazines.

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INTRODUCTION TO BUSINESS FINANCE

AIMS Being a purely introductory course in Business Finance, this course is designed

to:

• Introduce students to the subject of Business Finance and its importance to the banking profession

• Prepare students for subsequent related subjects in the Professional levels of the

Institute’s examinations. LINKAGES

The subjects is linked to: • Economics • Mathematics • Elements of Banking

(1) INTRODUCTION TO FINANCE:

The meaning of finance, the theory of finance, element of finance and financing functions, the roles of financial manager, controller/treasurer, finance in private sector vs public sector.

(2) THE FIRM AND ITS OBJECTIVES:

(i) The objectives of Financial decisions (ii) The finance function – investment, financing and dividend (iii) Financial management as tools for planning and control of company

operations. (3) SOURCES OF BUSINESS FINANCE:

Short, medium and long term source of funds. The nature, peculiar features, relative merits and demerits. The concept of funding, mismatch, and its consequences.

(4) FOUNDATION OF FINANCIAL MATHEMATICS:

(i) The principles of time value of money, compounding and discounting simple interest, annuities, effective yield.

(ii) The concept of amortization and sinking funds.

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(5) INTRODUCTION TO INVESTMENT/INVESTMENT DECISION:

Fundamentals of investment and interest rate, relationship between investment and expected return, types of investment, investment options, investment decision including investment in quoted securities, real estate, life insurance policy, etc.

(6) INTRODUCTION TO ANALYSIS OF FINANCIAL STATEMENTS:

(i) Users of Financial Statement. (ii) Ratio Analysis; activity ratios, liquidity, leverage and profitability ratios. (iii) Cash flow analysis.

(7) INTRODUCTION TO INTERNATIONAL FINANCE:

Various sources of international business finance, international financial market, World Bank, IMF, ADB, Ecowas Fund, etc. The use of documentary credit, Bill of Exchange, Collections, Vastro & Nostro A/C, Exchange Rate Policy, Exchange Control, etc. The nature, features, merits, demerits, and operational modalities, etc.

(8) RISK ANALYSIS:

(i) Concept and Types of Risk. EXAMINATION STRUCTURE The examination will consist of seven questions out of which candidates should attempt five questions only. There is no compulsory question. All questions carry equal marks. The questions will test equally the theoretical and practical aspects of the subject.

RECOMMENDED TEXBOOKS 1. ISIMOYA, D. C. - Business Finance I & II Management Science Centre,

Lagos 1986 2. OLOWE, R. A.- Financial Management, Brierly Jones Nigeria Ltd., Lagos 2005 3. PANDY, I. M. - Financial Management, VIKAS Publishing, New Delhi 1999 4. P. E. OSAZE &

A. R. ANAO - Managerial Finance, UNIBEN PRESS Benin City 2003

5. VAN HORNE J. - Financial Management and Policy, Prentice-Hall, New Jersey 2004

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PRINCIPLES OF MANAGEMENT AIMS

• To enable the candidates to understand the concepts, techniques and principles of management.

• To sensitize them on the need to understand the inter-relationship between

people and work in organizational performance

• To emphasize and make candidates appreciate the importance of management as a practice and the need to apply know theories to organizational activities.

LINKAGES The subject is linked to:

• Economics • Information Communication • Technology • Management Theory and Practice • Strategic Management in the Financial Services Industry

(1) MANAGEMENT: DEFINITIONS, FUNCTIONS AND CONCEPTS

(i) Meaning of Management (ii) Management as a science or an art (iii) Functions of management (iv) Managerial Roles: interpersonal roles, Information roles and

Decisional roles (2) THE EVOLUTION OF MANAGEMENT THOUGHTS

(i) Evolution of Management (ii) Pre-classical theorists (iii) Classical Organization School of thought (iv) Scientific Management (v) Human Relations School (vi) Behavioral Science Approach (vii) System View of Management (viii) Contingency Approach

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(3) BUSINESS ENVIRONMENT

(i) The nature of organizational environment (ii) The External Environment of Organisations

Technological Environment, Economic environment, legal-political environment, socio-cultural environment, International Environment, Demographic environment

(iii) The Task Environment – customers and clients, suppliers, substitute competitors and labour supply

(iv) Social Responsibility and Ethics in Business (v) Internal Environment

(4) MANAGEMENT PROCESSES

(i) THE PLANNING PROCESS

- The meaning and nature of planning - The hierarchy of plans (types of plans) - The principles of planning - The planning process - Barriers to effective planning - How to achieve effective planning

(ii) ORGANIZING PROCESS

- The meaning of organizing - Principles of organization - Span of control - Authority and Responsibility - Classification - Centralization and Decentralization of Authority - Determinants of organizational structure

(iii) LEADERSHIP PROCESS - Explain the contents of leadership - Approaches to leadership - Trait, behavioural and situational

(iv) COORDINATION - Principle and Method of coordination

(v) THE CONTROL PROCESS - The meaning of control - The importance of control

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- The relationship between planning and control - The control process - Types of control - Characteristics of effective control system

(vi) MOTIVATION - Define and explain the concept of motivation - Basic theories of motivation

(5) CONTEMPORARY ISSUES IN MANAGEMENT (i) Team Building (ii) Decision Making in a changing work environment (iii) Total Quality Management (iv) Corporate Governance (v) Conflict and conflict Revolution; (vi) Process of Business Engineering (vii) Globalization

EXAMINATION STRUCTURE Candidates must answer five (5) out of seven (7) questions. All question carry equal marks

RECOMMENDED TEXT BOOKS Bartol, K. M. & Martin, D. C. Management, 2nd Edition New York McGraw-Hill Inc.

1994

Cole, G. A. Management: Theory and Practice, 5th Edition, London. 1996, DP Publications

Chanson J. S, Management Theory and Practice 2002 Enikanselu S. A. Management: Theory and Process, Lagos, Enykon

Consult. 2005 Enikanselu S. A. Practice of Management, Lagos, Enykon Consult. 2003 Ituwe C. E, Bank Management, Gemini Tech. Ltd., Lagos, 1996 Lawal, A. A. Management in Focus, Lagos, Abdul Industrial

Enterprises 1993,

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Muo I. K. The Nature Scope and Challenges of Management 1999, Impressed Publishers Onwuchuruba G. U, Management Theory and Practice 2003 Stoner F. Management, Prentice Hall inc., New Jersey, 19989 Yalokwu, P. O. Fundamentals of Management, Lagos Peak Publishers 2002

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PART III

INFORMATION AND COMMUNICATION TEHNOLOGY

AIM To provide candidates with basic understanding and knowledge of the deployment of new information technologies in an increasing technology-driven society of ours

LINKAGES This subject is linked to Business Information Systems and Information Technology

CONTENTS

(i). Data Processing Concepts

Data, information and its role, distinction between data and information. attributes of quality information, Data collection methods, data processing stages, data processing and modes of data processing.

(ii) Computer Hardware Fundamentals

Definition of a computer, Types of Computer. (Analog, digital, hybrid), classes (mainframe, mini & micro). Basic components of a computer and their functions. Input technologies: keyboard, mouse, joystick, light pen, touch screen. Output technologies: Video display and Printers. Secondary storage technologies: Magnetic tape, magnetic disk and optical disk.

(iii) Computer Software Fundamentals

Systems Software, Operating System, Microcomputer Operating Systems, Network Operating Systems, User Interface. Applications Software: General- purpose and Special-purpose.

(iv) Introduction To Information Systems and Their Capabilities

Definition, types, components and capabilities, types and quality of IS

(v) Telecommunications Network

Definition, components, basic types: local Area Network (LAN) and Wide Area Network (WAN). Communications media: cable, fiber optics, microwave and satellite.

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(vi) Facilities for Communication and Information Access

The Internet, Facilities of the Internet, Electronic Commerce, Intranet and extranet. GSM

(vii) Office Automation Systems Word processing and Desktop Publishing, fax, e-mail, tele-conferencing

(viii) Computer Crime & Security

Computer crime and disaster recovery procedures, logical and physical security.

(ix) Application of ICT to Banking

EXAMINATION STRUCTURE

Candidates are expected to answer five (5) from seven (7) questions. All questions carry equal marks. RECOMMENDED TEXTBOOKS (1) Adewunmi, W. & Akinlade, T: Data Processing and Management Information. Systems Macmillan/CIBN, Lagos, 1999. (2) Anderson. R.G.: Data processing and Management Information System,

(M&E), Pitman Publishing, Long Acre, (3) French, C.S.: Data Processing and information Technology: 10th Ed. Letts Educational: London, 2003 (4) Oliver, E.C.& Chapman, R.J Data Processing: An Instructional Manual for Business And Accountancy Students: revised and extended by French, C.S (Seventh Edition) ELBS/DPP Publication, London, 1986 (5) Oyebanji, O & Adeniyi J.O: Questions & Answers on Data Processing and Management Information System: CIBN, Lagos, 1989. (6) Talabi D: Basic Computer Studies- A Beginner’s Text Datalink Associates Limited, Lagos, 2003

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FURTHER READING (1) Adewunmi, W. & Akinlade, T: Computers in Banking CIBN (Lagos Branch), Landmark Publications Lagos, 1988 (2) C.I.B.N: Examiners Report (3) Oliver, E. C. & Chapman R.Y. Data Processing: An Instructional Manual for Business and Accounting Students, English Language Book Society, London, 1990. (4) Zwass V: Foundations of Information Systems, Irwin Mc Graw-Hill, International Edition 1998.

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ELEMENTS OF BANKING

AIM To examine candidates on the basic concepts of money and banking. Candidates are expected to understand the various terms used in banking, the practical aspects of banking transactions and current knowledge of the developments in the Nigerian Financial System. LINKAGES This subject is linked to:

• General Principles of Law • Financial Economics • Law and Ethics of Banking • Practice of Banking

CONTENTS

1. Basic Concepts Of Money And Credit: Definition, origin, importance, functions and characteristics of money and credit. Money creation by commercial banks. Different types of money and means of exchange and their distinguishing features. Demand and supply of money. Value of money. Elementary quantity theory of money. The concept of Plastic Money i.e. Credit Card.

2. Evolution And Structure Of Nigerian Banking: Different types of banking institutions – Central Bank of Nigeria, commercial banks, merchant banks, development banks, specialized banks, e.g. Peoples Bank and Community Banks, non-bank Financial institution; (insurance companies, pension and provident funds, mortgage institutions, finance houses, and state finance corporations); traditional finance institutions – thrift and credit, financing schemes – NEXIM, SME, ADB Export Stimulation Scheme. The distinguishing features, similarities, differences, importance, and functions of the various banking/financial institutions.

3. Evolution, Structure And Functions Of Financial Markets In Nigeria: Money and capital markets, instruments of trade and participants, the Stock Exchange, (including Second Tier Securities Market), the Securities and Exchange Commission, requirements for listing in the securities market. The new over-the-counter market of the stock exchange automated trading system and central securities clearing system and participants- Discount Houses, Stockbrokers.

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4. The Evolution And Structure Of International Banking:

World Bank and its affiliates. The International Monetary Fund, (including Special Drawing Rights), Eurocurrency, regional development banks, African Development Bank, Nigerian Trust Fund, West African Monetary Unit (WAMU), West African Unit of Accounts (WAUA), West African Bankers Association, West African Travellers Cheques and Alliance of African institute of Bankers. Importance of these bodies to Nigeria’s economic development

5. BASIC CONCEPTS IN BANKING: Principle of good lending, typical balance sheet items of the Central Bank, commercial and merchant bank etc. the concept of liquidity, profitability, costs, convenience and confidence. Principles of negotiability: Cheques and promissory notes. The clearing system – rules governing clearing, local and state clearing, country clearing, role of the CBN in the clearing system. Payment Systems.

6. The Role Of Banking In The Economy The special position of the financial system in the savings and investment process. Various services offered by banks and their assessment. The banks as catalysts in economic development.

7. Critical Issues In Nigerian Banking Banking habits and its development – problems and prospects. Government participation in banking. Problems of bank liquidity; Foreign Exchange management. The Foreign Exchange Market – guidelines and methods of operation. Interbank Foreign Exchange Market – IFEM. The role of Bankers Committee. Monetary policy circular, Bankers tariff. Training and manpower development; the roles of the Chartered Institute of Bankers of Nigeria and the Financial Institutions Training Centre in the development of manpower in banking and Bank Training Schools. EXAMINATION STRUCTURE Candidates are to answer five (5) from eight (8) questions. All questions carry equal marks.

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RECOMMENDATION TEXTBOOKS Adekanye, F.: The Elements of Banking in Nigeria, Garham

Burm, Lagos, 1986 Adewunmi, W.: Questions and Answers, Lagos, CIBN, 1985 Ajayi O. A Elements of Banking Bash Moses Print Co.

Ibadan 2001 Anyanwaokoro, Mike: Elements, Practice & Processes of Banking

Operations, Vol. 1, Hosanna Publications, Enugu, 2001

Ekezie, E. S. The Elements of Banking, Africana, Lagos, 1997 Enyinnaya, C.: Practical Banking Operations, Pace Publishers, Ibid: Theory and Policy of Money and Banking,

Hosanna Publications, Enugu, 1999. Ibid: Banking Methods and Processes, Hosanna

Publications, Enugu, 1996

Lagos, (1992), on Element of Banking

Ituwea, C. E. Elements of Practical of Modern Banking,

University Press, Ibadan, 1992.

Omolumo I. G. Elements of Banking Omolum Consult Lagos 2001

Uju N. M. Ogubunka & Elements of Banking Akin Omojola Rhema Enterprises Lagos, Nigeria 2002

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FURTHER READING

Agene, C. E. The Principles of Modern Banking, Gene

Publications, Abuja and Lagos, 1995 Asuzu, C. C. N.: Elements of Banking in Nigeria for Tertiary

Institutions, Theo Onwuka and Sons Publishers, Ekwulobia, 1995

C. I. B. N. Examiners Report

Nwankwo, G. O. Nigerian Financial System, Macmillian, Lagos,

1980 Ojo, J. A. T. & Banking and Finance in Nigeria, Graham Burns, Adewunmi, W.: 1982. Olabisi, F.: Introduction To Banking, Evans Brothers, Ibadan, 1995

Omojolade, Dele, J. Financial Institutions and Operations of

Focus. Perry, F. E.: The Elements of Banking, Methuen, Melthumer,

London, 1977 NOTE: The following journals: The Nigerian Banker, Business Times, Business Concord, Financial Punch, CBN

Financial Reports (Bullion, Economic and Financial Reviews etc), should be regularly studied in-depth.

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QUANTITATIVE TECHNIQUES AIM To enable candidates understand the basic principles and calculations in Statistics, Business Mathematics and Operations Research. LINKAGES This subject is central to understanding most calculations in the business of Banking and Finance. CONTENTS SECTION A STATISTICS

1. INTRODUCTION Nature and Scope of Statistics Statistics as numerical data and as a subject of study. Descriptive and inferential statistics: applications in business, finance and banking

2. Data Collection Techniques Variables and levels of measurements Sources and classification of data Instruments of Data Collection: Questionnaires Design

3. Data presentation Techniques

Variables: discrete, continuous Principles and types of tabulation Diagrams and chart: simple, multiple and component bar charts. Frequency distribution: frequency table, frequency diagrams, charts and curves

4. MEASURES OF LOCATION Measures of central Tendency: Arithmetic Mean, Median, Mode, Geometric mean and Harmonic Mean Measures of Partition: Quartiles including, deciles and percentiles Coding and measures of location

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5. MEASURES OF VARIATION AND SHAPE

Range, mid-range, interquartile range Deviations: Mean deviation, standard deviation, quartile deviation Coefficient of Variation

6. BASIC IDEAS OF SAMPLING Population and sample application to Banking and Finance Principles and basic steps in and merits and demerit of sample surveys Basic Sampling Methods: simple random, stratified random, systematic and cluster sampling. Advantages and disadvantages of alternative sampling methods

7. REGRESSION AND CORRELATION Relationship and Association between two variables Scatter diagrams, relationship graphs. Methods of Fitting Regression Line: Freehand, least square, semi-average. Coefficients of Correlation: Moments Coefficient, Rant Coefficient Interpretation of Regression and Correlation Parameters: Regression Constant.

8. PROBABILITY AND PROBABILITY DISTRIBUTION Sets and Events Permutation and Combination Definition and Fundamental Laws of Probability Probability Functions: Discrete and Continuous Discrete Distributions: Binomial theorem, binomial distribution, poisson distribution, geometric and hypergeometric distributions Normal distribution and distribution of a linear function of Normal variate Applications in Banking and Finance

9. INDEX NUMBERS Simple Index Number: Relative indices, price, quantity, value indices Mean Indices: simple mean relative, weighted aggregative. Laspeyre’s and Pasche’s Price and Quantity Indices. Compromise Indices: Fishers Ideal index, Marshall Edgeworth Index, etc Consumer Price Index, Production Index, wages Index, Productivity Index, etc. Uses, limitations and problems

10. TIME SERIES Definition and examples of time series data Components of a Time Series: Tend, Seasonal, Cyclic, Irregular movements Time Series Models: Additive, Multiplicative

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Methods of estimating the trend: freehand, semi-average, least square, moving average Methods of estimating seasonal component Detrending and Deseasonalization Applications and limitations.

11. SOURCES, USES AND LIMITATIONS OF NIGERIAN STATISTICS Official Statistic: Types, Scope, Nature, Sources. Major Producers: Federal Office of Statistics (FOS), Central Bank of Nigeria (CBN), Ministries and Institutes. Major Publications: FOS, CBN, Ministries etc. Problems and Criticisms of Nigeria statistics.

SECTION B BUSINESS MATHEMATICS AND OPERATIONS RESEARCH

12. FUNCTIONS AND GRAPHS

Variable Linear function of one or more variables and quadratic function of one variable Sum and difference of functions Cost, Revenue and Profit Functions, Total an average functions Graphs of functions

13. LINEAR AND QUADRATIC EQUATIONS AND INEQUALITIES Linear and Quadratic inequalities Factorization of quadratic functions Solution of linear and quadratic equations by graph or discriminant or factorization Solution of linear and quadratic inequalities by the graphical method Breakeven points in costs revenue, Profit or Loss functions using methods of factorization, or discriminant or graph.

14. SYSTEM OF EQUATIONS Simultaneous Equations: Linear and Quadratic Solving simultaneous equations by methods of substitution and graph. Applications including translation of word problem to systems of equations

15. DERIVATIVE OF FUNCTIONS Derivatives of linear, quadratic and cubic functions Derivatives of sums and difference of functions Second order derivatives of quadratic and cubic functions

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maxima and minima points, points of inflection. Applications to Business and Economics, points of maximum/minimum costs, revenue, profits or loss

16. PROGRESSION, COMPOUNDING, DISCOUNTING AND ANNUITIES Arithmetic Progression: the nth term, sum of terms Geometric Progression: the nth term, sum of terms Simple and Compound Interest Depreciation and Inflation Investment Appraisal: Annuities and Net Present Value (NPV)

17. MATRICES (2X2, 2X3, 3X2, 3X3 ONLY) Square Matrices transpose of a matrix, matrices of same order Addition and subtraction of matrices Matrix product and matrix multiplication by a scalar Determinant and Inverse of the 2x2 matrix Application of matrix to solution of simultaneous equations in two unknows.

18. LINEAR PROGRAMMING (LP). Linear Inequalities Specifications of an LP model, Objective functions, constraints, assumptions Graphical Solution of Linear Programme model Application in Banking and Finance

19. MATHEMATICAL EXPECTATION, QUEUES, INVENTORY AND NETWORK ANALYSIS Random Variable and Probability Functions Expected Value Elements of Queue Theory; Simple Queue System, Parameters of a Simple Queue System Simple Inventory Problem, Economic Order Quantity (EOQ) from limited set of data and from given formula. Element of Network Analysis; Activities, Floats, Critical Path

EXAMINATION STRUCTURE 1. Candidates should answer four questions; any two (2) from four (4) questions

in section A and any two (2) from four (4) questions in section B 2. All questions carry equal marks

3. (A) Section A consists of 4 questions on Statistics

(B) Section B consists of 4 questions on Business Mathematics and operations

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Research RECOMMENDED TEXTBOOKS Adamu S. O Statistics for Beginners Evans Brothers Nig. Johnson T. L Pub Ltd. Ibadan 2000 Agbadudu A. B: Quantitative Techniques for Business, Lagos University

Press, Lagos, 1990 Chagonoyin Fundamentals of Statistics Rasmed Publications DA Agunbiade Ibadan 1999 Lucey .I: Quantitative Techniques, D. P. Publications, London, 6th

Edition, 2004 Soyibo, A: statistics for Students of Accounting, Banking and

Finance, F & A Publishers, Lagos, 1990 Uzoeshi, Francis C.: Quantitative Techniques for Modern Business Decisions

(in the right perspective), Springfield Publishers, Owerri, 2000. FURTHER READING C. I. B. N. Examiners Report Francis A.: Business Mathematics and Statistics. D. P. Publications Ltd.,

London, 1988. Harper, W. M.: Statistical Techniques in Business and Economics, Irwin,

Ontario, 1978 Morris, C: Quantitative Approach in Business Studies, Pitman, 1992. Spiegal, M. R.: Schaum’s Series. Theory & Problems of Statistics, McGraw-

Hill Company, London, 1992 Zameerddin, P. Et Al: Business Mathematics, Vikas Publishing, New Delhi, 1995