1.

The null hypothesis is that the mean quarterly claim of cash shortage has not changed, and the
alternative hypothesis is that it has increased, meaning:

H0: μ = 500

Ha: μ > 500

where μ represents the population mean of cash shortage claims per quarter.

2. To perform the hypothesis test, we will use a one-sample t-test with a significance level of 0.05. The
test statistic can be calculated as:

t = (sample mean - hypothesized mean) / (standard error of the mean)

= (640 - 500) / (150 / sqrt(40))

= 6.38

Using a t-distribution table with 39 degrees of freedom (df = n - 1), we find that the p-value for a one-
tailed test with a t-value of 6.38 is less than 0.0001. This means that the probability of obtaining a
sample mean of 640 or higher if the true population mean is 500 is less than 0.0001.

Since the p-value is less than the significance level of 0.05, we reject the null hypothesis and conclude
that the mean quarterly claim of cash shortage has increased and that the internal control tools should
be improved.

3. We chose a one-sample t-test because we are testing the mean of a single sample against a
hypothesized value. The t-test is appropriate because the population standard deviation is unknown and
has to be estimated from the sample data. We assumed that the sample is normally distributed since
the sample size is large enough (n > 30) and the Central Limit Theorem applies. We used a one-tailed
test since the alternative hypothesis is directional, and we only want to detect an increase in cash
shortages, not a decrease. We set the significance level at 0.05 to minimize the chance of making a Type
I error (rejecting the null hypothesis when it is true).

Write short description about cbe and bank industry

Commercial Bank of Ethiopia (CBE) is a state-owned commercial bank in Ethiopia, which was established
in 1942. It is the largest and oldest bank in the country, with more than 1,300 branches and over 18,000
employees. CBE offers a wide range of banking products and services, including deposit accounts, loans,
trade finance, foreign exchange, and mobile banking. The bank has played a significant role in the
development of the Ethiopian economy by providing financial services to individuals, businesses, and
government institutions.

The banking industry in Ethiopia has undergone significant changes in recent years, with the government
implementing policies to liberalize and modernize the sector. The country has 18 banks, including CBE,
and several microfinance institutions. The sector is regulated by the National Bank of Ethiopia, which is
responsible for issuing banking licenses and supervising banks to ensure their compliance with
regulations. The industry faces challenges such as limited access to finance for small and medium-sized
enterprises, a shortage of skilled professionals, and the need for technological innovation. However, the
government's efforts to promote financial inclusion and encourage private sector participation are
expected to drive growth and development in the banking industry.

state and describe the type of software they use for the following functions

1, Database

2, Core-banking

3, Enterprise asset management

4, Other

1. Database:

Commercial Bank of Ethiopia (CBE) uses Oracle Database as its database management software. Oracle
Database is a relational database management system that provides a secure and scalable platform for
storing, managing, and querying data. It offers features such as data encryption, backup and recovery,
partitioning, and performance optimization. CBE uses Oracle Database to manage its core banking data,
customer information, and other operational data.
2. Core-banking:

CBE uses Finacle as its core banking software solution. Finacle is a comprehensive banking solution that
enables banks to manage their customer accounts, transactions, loans, deposits, and other core banking
operations. It provides real-time processing, multi-currency support, integration with third-party
systems, and compliance with regulatory requirements. CBE uses Finacle to manage its branch
operations, online banking services, and mobile banking services.

3. Enterprise asset management:

CBE uses IBM Maximo as its enterprise asset management software. IBM Maximo is a comprehensive
solution for managing the lifecycle of physical assets such as buildings, equipment, and vehicles. It
provides tools for asset tracking, maintenance scheduling, inventory management, and performance
analytics. CBE uses IBM Maximo to manage its physical assets, such as buildings, vehicles, and ATMs.

4. Other:

CBE also uses other software solutions for various functions within the organization. For example, it uses
Microsoft Dynamics 365 for customer relationship management (CRM), SAP for enterprise resource
planning (ERP), and T24 for treasury and trade finance operations. These software solutions provide
tools for managing different functions within the organization, such as sales, finance, and operations.
They offer features such as data analysis, automation, collaboration, and reporting.

Data input: - explain document, procure & ways (methods) the entity used to input accounting
data (transaction : deposit / withdrawal )

As one of the largest banks in Ethiopia, the Commercial Bank of Ethiopia (CBE) processes a large volume
of transactions every day, including deposits and withdrawals. Here is an explanation of document
procurement and ways/methods of data input for deposit and withdrawal transactions at CBE:

Document procurement:

For deposit transactions, customers can use various documents to initiate the transaction, such as
deposit slips or electronic transfer receipts. For example, a customer can fill out a deposit slip with the
amount of money to be deposited and the account number to which the money should be credited. The
deposit slip is then submitted to the teller for processing.
For withdrawal transactions, customers may use checks or withdrawal slips to initiate the transaction.
The customer fills out the necessary information on the check or withdrawal slip, including the amount
of money to be withdrawn and the account from which the money should be debited.

Ways/Methods of data input:

CBE uses a variety of methods to input accounting data for deposit and withdrawal transactions. Some
common methods are:

1. Teller input:

When a customer visits a CBE branch to make a deposit or withdrawal, the transaction is typically
processed by a teller. The teller inputs the transaction information into the bank's accounting system
using a computer or other device. This method is useful for ensuring the accuracy of the data input, as
the teller can verify the customer's identity and the transaction details.

2. ATM input:

CBE has an extensive network of ATMs throughout Ethiopia, which customers can use to make deposits
and withdrawals. When a customer uses an ATM, the transaction is automatically recorded and posted
to the customer's account. This method is fast and convenient, but may be less secure than teller input.

3. Mobile and online banking:

CBE offers mobile and online banking services, which allow customers to initiate deposit and withdrawal
transactions using their mobile devices or computers. Customers can input the necessary transaction
details, such as the amount of money to be deposited or withdrawn, and the transaction is automatically
recorded and posted to their account. This method is fast and convenient, but may be less secure than
teller input.

4. Electronic data interchange (EDI):

CBE also uses EDI to exchange data with other banks and financial institutions. This method allows for
fast and secure transfer of funds between accounts, and the transaction data is automatically input into
the bank's accounting system. This method requires a standardized format for exchanging data and may
require specialized software and infrastructure.
In summary, document procurement and methods of data input for deposit and withdrawal transactions
at CBE depend on various factors, including the customer's preference, the volume of transactions, and
the organization's accounting system. The bank uses a variety of methods, including teller input, ATM
input, mobile and online banking, and EDI, to ensure the accuracy and completeness of financial
information.

Data output: - list types of output that can be generated from the entities AIS (reports & operation
documents)
The Commercial Bank of Ethiopia (CBE) and other entities use accounting information systems (AIS) to
generate various types of output. Here are some examples of reports and operation documents that can
be generated from AIS:

1. Financial statements: The AIS can generate financial statements, such as income statements, balance
sheets, and cash flow statements, which summarize the financial activities of the entity over a period of
time.

2. Management reports: The AIS can generate management reports, such as budget reports, variance
analysis reports, and performance reports, which provide insight into the entity's financial performance
and help managers make informed decisions.

3. Transaction reports: The AIS can generate transaction reports, such as sales reports, purchase reports,
and inventory reports, which provide information about the entity's transactions over a period of time.

4. Audit reports: The AIS can generate audit reports, which summarize the results of internal and
external audits and provide recommendations for improving the entity's internal controls and financial
reporting processes.

5. Regulatory reports: The AIS can generate regulatory reports, such as tax filings, regulatory filings, and
compliance reports, which ensure that the entity complies with various legal and regulatory
requirements.
6. Operational documents: The AIS can generate operational documents, such as invoices, purchase
orders, and shipping documents, which provide information about the entity's day-to-day operations
and transactions.

7. Customer reports: The AIS can generate customer reports, such as account statements, customer
invoices, and payment reminders, which provide information to customers about their financial
transactions with the entity.

In summary, the AIS can generate various types of output, including financial statements, management
reports, transaction reports, audit reports, regulatory reports, operational documents, and customer
reports, which provide information to stakeholders and support decision-making processes.