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Given the information below for a bank, what is the Return on Equity? (ROE). Original Interest income 2,250 Interest Expense 1,500 Total assets 45,000 Security
Given the information below for a bank, what is the Return on Equity? (ROE). | ||
Original | ||
Interest income | 2,250 | |
Interest Expense | 1,500 | |
Total assets | 45,000 | |
Security losses or gains | 21 | |
Earnings assets | 40,000 | |
Total liabilities | 38,000 | |
Taxes paid | 16 | |
Common shares outstanding | 5,000 | |
Noninterest income | 800 | |
Noninterest expense | 900 | |
Provisions for loan losses | 250 |
A. | 8.06% | |
B. | 9.59% | |
C. | 5.79% | |
D. | 6.5% | |
E. | 4.9% |
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