[3] Commercial banks: balance sheet exercise (25 points) Consider the following information on Bank M's balance sheet Equity Loan to Banco Santander at 3.25% Loan to Japanese steel maker at 2.50% Mortgage loans at 7.5% Cash Time deposits, fixed rate at 2.50% Demand deposits (no interest) Bonds issued by the bank, fixed rate at 5.50% Personal loans at 7.00% [?1 230 million 685 million 1,300 million 100 million 1,345 million 990 million 815 million 1,100 million QUESTIONS 1.- Find the value of equity. 2.- Calculate net interest income. 3.- Calculate the loan-to-deposit ratio