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1.4 Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Rate Earned (%) oooooo Balance Sheet
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Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Rate Earned (%) oooooo Balance Sheet (in thousands) Assets Cash and due from banks $ 7,600 Investment securities 38,000 Repurchase agreements 28,000 Loans less allowance for losses 96,000 Fixed assets 26,000 Other earning assets 4,000 Total assets $ 199,600 Liabilities and Equity Demand deposits $ 14,000 NOW accounts 85,000 Retail CDs 34,000 Subordinated debentures 30,000 Total liabilities 163,000 Common stock 19,000 Paid-in capital surplus 4,600 Retained earnings 13,000 Total liabilities and equity $ 199,600 Rate Paid (%) If the bank earns $136,000 in noninterest income, incurs $96,000 in noninterest expenses, and pays $2,660,000 in taxes, what is its net income? (Enter your answer in dollars, not thousands of dollars.) Net incomeStep by Step Solution
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