Research Aim and Objectives:
The overall purpose of this research is to assess the financial performance of the top five banks in Nigeria from 2010-2015. The specific objectives of this study are to:
i. Determine the return on equity of the five banks over a five year period
ii. Determine the liquidity of the five banks over a five year period
iii. Determine the return on asset of the five banks over a five year period
iv. Determine the return on gross earnings of the five banks over a five year period
Research Questions:
i. What is the return on equity of the five banks over a five year period?
ii. What is the liquidity of the top five banks over a five year period
iii. What is the return on asset of the five banks over a five year period
iv. What is the return on gross earning of the five banks over a five year period?
Scope of the Study:
This study on the assessment of financial performance will be limited in scope to the top five banks in Nigeria namely Zenith bank with gross earnings of 432 billion Naira, First bank with gross earnings of 481 billion Naira, Guaranty Trust bank with gross earnings of 301 billion naira, Access bank with 337 billion in gross earning and United bank for Africa at 314 billion naira in gross earning (Africa Ranking 2015). Coverage period for the study is the year 2010-2015.
The study could have covered all the banks in Nigeria but due to the requirements of such a rigorous research in terms of time and money, and considering that this study seeks to carry out an in depth assessment of financial performance. The study uses the top five banks in Nigeria with headquarter office in Lagos Island Nigeria as case study.
Limitations of the Study:
In this study, there are some definite factors that have been envisaged to posture as restrictions to the study. Such dynamics may comprise:
i. The fact that this study will be restricted in scope to five organization in this case Zenith, First bank, Guaranty Trust Bank, Access Bank, and United Bank for Africa, Nigeria.
ii. This study will entail an in depth investigation of multiple entity which may lead to a need for undue consideration for issues pertaining to external validity and research rigour. Which are classic case of the limitations of case study research.
iii. Considering the nature of financial reports, the respondents may withhold certain information and it may also be impossible to meet with key stakeholders like the CEO and financial directors.
iv. The researcher has limited knowledge of the use of rigorous statistical tools, this may hamper the researcher from making use of advanced statistical tools in the analysis of the questionnaire.