Given your answer to the fi rst part of question 16 and assuming a 5 percentage- point increase in interest rates, by what magnitude will bank income change?

Assets Liabilities Reserves and cash $50 million Checkable deposits (fi xed rate) $25 million Securities Money Market deposit accounts $25 million Less than 1 year $40 million Savings deposits (fi xed rate) $25 million Greater than 1 year $10 million CDs Commercial loans Variable rate $25 million Less than 1 year $10 million Less than 1 year $35 million Greater than 1 year $40 million Greater than 1 year $15 million Residential mortgages Fed funds $10 million Variable rate $25 million Other borrowing Fixed rate $25 million Less than 1 year $30 million Greater than 1 year $35 million All other assets $50 million Bank capital $25 million Total assets $250 million Total liabilities and capital $250 million