Question
Bank A has the following characteristics: Total assets (earning) 800 Total liabilities 600 Rate earned on assets 5% Rate paid on liabilities 6% Loan loss
Bank A has the following characteristics:
Total assets (earning) | 800 |
Total liabilities | 600 |
Rate earned on assets | 5% |
Rate paid on liabilities | 6% |
Loan loss provisions | 20 |
Non-interest income | 120 |
Non-interest expenses | 80 |
Taxes | 0 |
The Return on Equity and spread of this bank are _____ and ______ respectively.
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
