Consider the following balance sheet positions for a financial institution:

• Rate-sensitive assets  $200 million Rate-sensitive liabilities  $100 million

• Rate-sensitive assets  $100 million Rate-sensitive liabilities  $150 million

• Rate-sensitive assets  $150 million Rate-sensitive liabilities  $140 million

a. Calculate the repricing gap and the impact on net interest income of a 1 percent increase in interest rates for each position.

b. Calculate the impact on net interest income of each of the above situations, assuming a 1 percent decrease in interest rates.

c. What conclusion can you draw about the repricing model from these results?