Interest Cost 3.0% Assets Securities Loans Non-earning Total Interest rate Liab. & of return Equity 4.5% Liabilities 7.5% Equity 0.0% Total Amount $ 475 725 100 S 1.300 Amount $ 1,175 125 $ 1,300 First National Bank of Green Bay: ROE Tax rate Noninterest Expense PLL 12% 34% $ 30 $ 3 Industry Average: NIM 3.54% Overhead Efficiency 0.85 Average Loan Rate (ALR) 7.5 % What must net noninterest income (net of noninterest expense) be in order for FNBGB to have a 12 percent ROE? Interest Cost 3.0% Assets Securities Loans Non-earning Total Interest rate Liab. & of return Equity 4.5% Liabilities 7.5% Equity 0.0% Total Amount $ 475 725 100 S 1.300 Amount $ 1,175 125 $ 1,300 First National Bank of Green Bay: ROE Tax rate Noninterest Expense PLL 12% 34% $ 30 $ 3 Industry Average: NIM 3.54% Overhead Efficiency 0.85 Average Loan Rate (ALR) 7.5 % What must net noninterest income (net of noninterest expense) be in order for FNBGB to have a 12 percent ROE