... DEFMSECONINFfRf 1 Chapter 20Bank PerformanceFinancial Markets and Institutions, 7e, Jeff MaduraCopyright ©2006 by South-Western, a division of Thomson Learning. All rights reserved. 16 Risk Evaluation ... conditions were weakened and the volume of bank loans declined - ? - ),,( MANABINDUSECONfRP ∆∆∆=∆ 2 Chapter OutlineValuation of a commercial bankPerformance evaluation of banksRisk evaluation ... (cont’d)Reasons for bank failure (cont’d)The Office of the Comptroller of the Currency reviewed 162 national failed banks since 1979 and found the following common characteristics:81 percent...