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1 Friendly Financial has $140 million in consumer loans with an average interest rate of 12 percent. The bank also has $94 million in home
1 Friendly Financial has $140 million in consumer loans with an average interest rate of 12 percent. The bank also has $94 million in home equity loans with an average interest rate of 9 percent. Finally, the company owns $25 million in corporate securities with an average rate of 7 percent. 2.5 points Managers at Friendly Financial estimate that next year its consumer loan portfolio will rise to $237 million and the interest rate will fall to 10 percent. They also estimate that its home equity loans will fall to $80 million with an average interest rate of 9 percent, and its corporate securities portfolio will increase to $26 million with an average rate of 7 percent. Skipped Required: Estimate Friendly Financial's revenues for the coming year. (Enter your answer in thousands of dollars.) Book Interest revenue Print References
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