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00 million in loans. a. What interest rates on mortgage loans and on deposits would you recommend to obtain business? b. If $100 million in

00 million in loans.

a. What interest rates on mortgage loans and on deposits would you recommend to obtain business?

b. If $100 million in loans and an equal amount of deposits are attracted with a mortgage rate of 6.5 percent and a deposit interest rate of 3.5 percent, what would be Wallopaloozas annual before-tax profit on the new business? (Assume that interest rates do not change.)

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