Question
Calculate the Interest Income, Interest Expense, Net Interest Income, and Net Interest Margin for the bank listed below. Use Total Assets for ratios (rather than
Calculate the Interest Income, Interest Expense, Net Interest Income, and Net Interest Margin for the bank listed below. Use Total Assets for ratios (rather than earning assets). "%" denotes the interest rate earned or paid on the designated asset or liability category. Please show your work in order to receive credit.
| Assets | Amount | % |
| Liabilities and Equity | Amount | % |
| Cash | 80 | 0.0% |
| Non-interest deposits | 100 | 0.0% |
| Securities | 270 | 5.5% |
| NOW checking | 170 | 2.0% |
| Loans, net | 600 | 7.5% |
| MMDA | 330 | 4.0% |
| Fed funds sold | 0 |
|
| CDs | 160 | 5.0% |
| Non-earning assets | 50 |
|
| Fed Funds purchased | 150 | 3.0% |
|
| $1,000 |
|
| Equity | 90 |
|
|
|
|
|
|
| $1,000 |
|
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Corporate Finance
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe
13th International Edition
1265533199, 978-1265533199
