3. The following is City Bank T account. Assets Reserves RSA Liabilities and Capital $20m $80m RSL Capital $90 $10 a. Using Gap analysis, calculate the change of income if interest rates changed from 10% to 15% b. Using Gap analysis calculate the change in the market value of the net worth as a percentage of total assets if interest rates increased from 10% to 15%. Assume average duration of 4 years for the rate sensitive assets, and average duration of 6 years for the rate sensitive liabilities. c. Referring to "b" above, what is the market value of the net worth as a percentage of total assets if interest rates decreased from 15% to 13%? d. What strategies should the Bank Manager follow to alleviate the risk of interest rates increase?