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5. The following information is provided for Green Tree Bank 75 Cash Loan M (4%, 4 years) TOTAL Assets 250 325 Deposit N (2 years,

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5. The following information is provided for Green Tree Bank 75 Cash Loan M (4%, 4 years) TOTAL Assets 250 325 Deposit N (2 years, 2%) Equity TOTAL Liabilities 5a. Estimate the durations of Loan Mand Deposit N. (8 Points) 5b. Using the duration formula estimate the change in the value of the equity if interest rates are expected to decrease by 1%. (8 Points)

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