|
134.
|
The following note disclosure is taken from the 2016 annual report to shareholders of Winchester International Corporation.
NOTE 5: ALLOWANCE FOR LOAN LOSSES
The allowance for loan loss is maintained at a level to absorb probable losses inherent in the loan portfolio. This allowance is increased by provisions charged to operating expense and by recoveries on loans previously charged off, and reduced by charge-offs on loans.
The following is a summary of the changes in the allowances for loan losses for three years:
|
|
At December 31
|
|
|
|
|
|
|
(In thousands)
|
2016
|
2015
|
2014
|
|
|
|
|
|
|
Balance at beginning of year
|
$ 91,809
|
73,658
|
66,201
|
|
Allowances from purchase transactions
|
1,851
|
10,980
|
3,647
|
|
Provisions charged to operations
|
14,400
|
11,800
|
9,000
|
|
Subtotal
|
108,060
|
96,438
|
78,848
|
|
Charge-offs
|
(11,575)
|
(6,816)
|
(7,406)
|
|
Recoveries
|
1,822
|
2,187
|
2,216
|
|
Net charge-offs
|
(9,753)
|
(4,629)
|
(5,190)
|
|
Balance at end of year
|
$ 98,307
|
91,809
|
73,658
|
|
|
|
|
|
Winchester also reported (in thousands) in its comparative balance sheet that it held Loans receivable, net, of $6,869,911 and $6,819,209 at December 31, 2016, and December 31, 2015, respectively.
Using a T-account for the Allowance for Loan Losses, identify the changes in the account during 2016.
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