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FIN 4100 Bank has the following balance sheet (in millions): Assets Cash Loans Securities Liabilities and Equity S40 Deposits 100 Borrowed funds $120 45 30
FIN 4100 Bank has the following balance sheet (in millions): Assets Cash Loans Securities Liabilities and Equity S40 Deposits 100 Borrowed funds $120 45 30 55 Equity Total assets $195 Total liabilities and equity $195 FIN 4100's largest customer decides to exercise a $15 million loan commitment. Creat the new balance sheet if the bank uses the following liquidity risk strategies (1) Stored liquidity management. (2) Purchased liquidity management
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