Question
Calculate the duration of JohnSmith Bank's assets and liabilities. Assets Duration Market Value Overnight Money 0.0 $3 Million 1-year T-Bonds 0.6 $8 Million Loans 2.20
Calculate the duration of JohnSmith Bank's assets and liabilities.
| Assets | Duration | Market Value |
| Overnight Money | 0.0 | $3 Million |
| 1-year T-Bonds | 0.6 | $8 Million |
| Loans | 2.20 | $20 Million |
| Mortgages | 7.50 | $8 Million |
|
|
|
|
| Liabilities | Duration | Market Value |
| Checking Accounts | 0.0 | $20 Million |
| Short-term CDs | 0.4 | $4 Million |
| Long-term CDs | 3.20 | $12 Million |
| Equity |
| $3 million |
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The Finance Book
Authors: Stuart Warner, Si Hussain
2nd Edition
1292401982, 978-1292401980
