13. Springer County Bank has assets totaling $180 mil- lion with a duration of five years, and...

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13. Springer County Bank has assets totaling $180 mil- lion with a duration of five years, and liabilities totaling $160 million with a duration of two years. If interest rates drop from 9% by 75 basis points, what is the change in the bank's capitalization ratio?

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Financial Markets and Institutions

ISBN: 978-0321280299

5th edition

Authors: Frederic S. Mishkin, Stanley G. Eakins

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