Money & Banking(1) The following is a simplified FI balance sheet: Assets Loans Total assets Liabilities and Equity $1.000 Deposits $850 0 Equity $150 $1.000 Total liabilities & equity $1.000 The average maturity of loans is 5 years and the average maturity of deposits is 3 years. Assume loan and deposit balances are reported as book value, zero-coupon items. Assume that interest rate on both loans and deposits is 5 percent. What is the market value of equity? Select one: Oa. MV of equity= 7.0028 O b. MV of equity=-7.0028 Oc. MV of equity=-17.0028 O d. None of the other three answers A principal of $6000 is invested at 8% for 2 year. Determine the future value if the interest is compounded semi annually :Select one a. $1019.15 b. $7019.15 c. $6998.40 d. $998.40