Reza Tehrani - Department of Accounting, Faculty of Management, Tehran University, Tehran, Iran
Hamid Pezeshk - College of Campus science, Tehran University, Iran
Hamid Reza Iravani - Department of Financial Management, Aras International Campus, Tehran University, Tehran, Iran

The present research investigates the profit efficiency in branches of Sina Bank and the factors whichaffect it. In order to investigate the profit efficiency in branches of Sina Bank, a two-phase method isapplied in this research. The Stochastic frontier analysis and Cobb-Douglas Profit Function were used inthe first phase. In order to evaluate the relationship between independent variables and the efficiencyobtained in the first phase, simple linear regression was applied in phase two. Independent variables inthe present research include the average granted loans, the price of financial capital and profit efficiencyof branches. There is also a negative relationship between labor force and profit efficiency of branches.No significant relationship was observed between other independent variables and the dependent one.

Profit Efficiency, Stochastic Frontier Analysis, Cobb-Douglas Profit Function, Sina Bank