1.Summarise some of the recommendations of the Murray Inquiry into Australia’s financial system, and describe the changes that took place in terms of the capital structure of banks in 2015 as a result of the Murray enquiry recommendations.

2.Describe the various theories behind the term structure of interest rates, including a discussion of the assumptions on which they are based and their predictions for the shape of the yield curve.

3.Describe the features of the main types of deposit funding and non?deposit funding used by banks