Liab. & EquityAmount Interest Cost $1,175 3.0 % Interest rate Assets Amount of return Securities $475 4.5 % Liabilities Loans 725 7.5 % Equity Non-earning 100 0.0 % Total Total $1,300 125 $1,300 First National Bank ROE 12% Tax rate 34% Noninterest Expense $30 PLL $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 FNB to have a 12 percent ROE