Spread to total assets: Spread is the measure of difference between the interest earned and interest expended, relative to the amount of total assets. It shows the ability of the bank to keep the interest on deposits low and interest on advances high. It is an important measure of a bank's core income. A higher spread indicates better earnings given the total assets. This leads to the formulation of following hypothesis:
H8- There is a significant positive relationship between Spread to total assets and Efficiency.