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7.) Consider the following bank: Assets Cash $100 U.S. Treasury Bills $850 Loans $50 Liabilities Deposits $500 Borrowings $200 Equity Capital $300 Total Assets $1000

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7.) Consider the following bank: Assets Cash $100 U.S. Treasury Bills $850 Loans $50 Liabilities Deposits $500 Borrowings $200 Equity Capital $300 Total Assets $1000 Total Liabilities and Equity $1000 a.) Suppose that this bank wanted to increase its Net Interest Margin (NIM). What advice would you give to the bank? b.) Suppose that this bank wanted to increase its ROE (Return on Equity) without changing its Net Interest Margin. What advice would you give to the bank

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