a. What is the repricing gap if the planning period is 30 days? Note: Interbank loans are short term. Most are for maturities of one week or less, the majority being over day. Interests on savings account are usually calculated monthly and rate sensitive. Demand deposits in the question do not bear any interests.

What is the impact over the next 30 days on net interest income if interest rates on RSAs increase 50 basis points and on RSLs increase 40 basis points?

Please see below the balance sheet of Norm Bank. Market yields are in parentheses and the numbers are in millions. Assets Liabilities and equity Cash 20 Demand deposits 250 Interbank lending (5.05%) 150 Savings accounts (1.5%) 20 3-month T-notes (5.25%) -( 150 Money market deposit accounts (4.5%) (no min balance requirement) 340 2-year T-bonds (6.50%) 100 3-month CDs (4.2%) 120 8-year T-bonds (7.50%) 200 6-month CDs (4.3%) 220 5-year corporate bonds (floating rate) (8.20%, repriced @ 6 months) 50 1-year CDs (4.5%) 375 6-month consumer loans (6%) 6 250 2-year CDs (5%) - 425 1-year consumer loans (5.8%) 300 4-year CDs (5.5%) 330 5-year personal loans (7%) 350 5-year CDs (6%) 350 7-month commercial loans (5.8%) 200 Interbank borrowings (5%) 225 2-year commercial loans (floating rate) (5.15%, repriced @ 6 months) 275 Overnight repos (5%) 5 290 15-year variable rate mortgages (5.8%, repriced @ 6 months) 200 6-month bank accepted bills (5.05%) 300 15-year variable rate mortgages (6.1%,repriced @ year) 400 Subordinate notes: 3-year fixed rate (6.55%) 200 15-year fixed-rate mortgages (7.85%) 300 Subordinated debt: 7-year fixed rate (7.25%) 100 30-year variable-rate mortgages (6.3%, repriced @ quarter) 225 Total liabilities 3545 30-year variable rate mortgages (6.4%, repriced @month) 355 30-year fixed-rate mortgages (8.2%) 400 Premises and equipment 20 Equity 400 Total assets $3945 Total liabilities and equity $3945 Please see below the balance sheet of Norm Bank. Market yields are in parentheses and the numbers are in millions. Assets Liabilities and equity Cash 20 Demand deposits 250 Interbank lending (5.05%) 150 Savings accounts (1.5%) 20 3-month T-notes (5.25%) -( 150 Money market deposit accounts (4.5%) (no min balance requirement) 340 2-year T-bonds (6.50%) 100 3-month CDs (4.2%) 120 8-year T-bonds (7.50%) 200 6-month CDs (4.3%) 220 5-year corporate bonds (floating rate) (8.20%, repriced @ 6 months) 50 1-year CDs (4.5%) 375 6-month consumer loans (6%) 6 250 2-year CDs (5%) - 425 1-year consumer loans (5.8%) 300 4-year CDs (5.5%) 330 5-year personal loans (7%) 350 5-year CDs (6%) 350 7-month commercial loans (5.8%) 200 Interbank borrowings (5%) 225 2-year commercial loans (floating rate) (5.15%, repriced @ 6 months) 275 Overnight repos (5%) 5 290 15-year variable rate mortgages (5.8%, repriced @ 6 months) 200 6-month bank accepted bills (5.05%) 300 15-year variable rate mortgages (6.1%,repriced @ year) 400 Subordinate notes: 3-year fixed rate (6.55%) 200 15-year fixed-rate mortgages (7.85%) 300 Subordinated debt: 7-year fixed rate (7.25%) 100 30-year variable-rate mortgages (6.3%, repriced @ quarter) 225 Total liabilities 3545 30-year variable rate mortgages (6.4%, repriced @month) 355 30-year fixed-rate mortgages (8.2%) 400 Premises and equipment 20 Equity 400 Total assets $3945 Total liabilities and equity $3945