4. A Ghanaian bank has assets of GHS100 million and average duration of the assets of 2.7 years. The bank has liabilities of GHS95million and average duration of the liabilities of 1.03 years. If interest rate should increase from 10% to 15%, calculate the change in the (a) market value of assets (b) the market value of the liabilities (c) net worth of the bank

5. Negotiable certificates of deposits (NCDs) are interest-bearing deposits in financial institutions which may be sold before maturity. Assume an investor invested GHS 50,000 in 60-day NCDs and decided to liquidate the investment on the 45th day. Calculate the total interest and principal paid by the bank to the investor. Assume a buy and sell interest rate of 8.0% p.a and 9.5% p.a. for the 60-day NCD.