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Estimate the duration of Loan M Bank Balance Sheet Cash = $ 50 Loan M (7%, 6 years) = $200 Deposit N (3 years, 2%)
Estimate the duration of Loan M
Bank Balance Sheet | |
Cash = $ 50 Loan M (7%, 6 years) = $200 | Deposit N (3 years, 2%) = $ 200 Equity = $ 50 |
Total Assets = $250 | Total Liabilities = $ 250 |
3.1 years | ||
4.1 years | ||
5.1 years | ||
6.1 years |
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