help please

1. (10 points) Suppose a bank's assets and liabilities have been classified into assets and liabilities that are rate sensitive and those that are not. The data (in millions of dollars) are as follows: Assets Liabilities Short-term 35 Variable 20 Rate securities Rate CD: Sensitive Sensitive Variable 50 Short-term 25 mortgage debt Long-term 5 Long-term 50 Fixed Rate securities Fixed Rate debt Physical 10 Capital capital (equities Total 100 Total 100 a) (3 points) Calculate the effect of a decline of interest rates by 3% on bank income. Clearly indicate the direction (sign) of the change and the unit of measurement. SHOW your calculations