1. BB&T Bank currently has the following interest-sensitive assets and liabilities on its balance sheet with the interest-rate sensitivity weights noted.

Interest-Sensitive Assets	$ Amount	Rate Sensitivity Index
Federal fund loans	$ 50.00	1.00
Security holdings	50.00	1.20
Loans and leases	350.00	1.45
Interest-Sensitive Liabilities	$ Amount	Rate Sensitivity Index
Interest-bearing deposits	$ 250.00	0.75
Money-market borrowings	90.00	0.95

What is the banks current interest-sensitive gap? Adjusting for these various interest rate sensitivity weights what is the banks weighted interest-sensitive gap? Suppose the federal funds interest rate increases or decreases 50 basis points. How will the banks net interest income be affected (a) given its current balance sheet makeup and (b) reflecting its weighted balance sheet adjusted for the foregoing rate-sensitivity indexes?