Answer the following questions

1. List and explain five assets on a bank's statement of financial position. Why are these items considered as assets?

2. List and explain five liabilities on a bank's statement of financial position. Why are these items considered as liabilities?

3. List and explain two off-statements of financial position items. Why are these important?

4. A bank has interest expense of US$50,000 and interest income of US$80,000. What is the bank's net interest income?

5. Generally, banks rely more on interest income compared to non-interest income. Why may this be so?