Answer is not 15.5%. Thank you!

Question 3: Assume the following expected income on the loan of $200,000 : - Interest Income rate on loans =7% - Interest expense rate on deposit accounts that will fund the loan =5.5% - Overhead expense rate to administer the loans =.75% - Expected loss rate on the loan =.40% Part A. If the "economic capital" is $7,000 what is the Risk Adjusted Rate of Return? . Input your answer in the .XXXX format Part B. Should the bank make this loan if the expected hurdle rate is 15%