No. 1: Given Data Solve for Net Income After Taxes Total Interest Income Total Int. Expenses Provision Loan Loss Noninterest Income Net interest income 810 Provision for loan loss 90 Total non-interest expenses 840 Total interest income 3060 Income taxes Increase in bank's undivided profits Total non-interest income 60 84 360 Securities gain (losses) Extraordinary items (30) (15) Tax Using the above data please calculate the following items: Noninterest expenses Pretax Securities losses Pretax net Before Extraordinary Extraordinary Net Income after Taxes No. Item Net Income after Taxes 2 Total Operating Revenues 3 Total Operating Expenses Dividends Paid to Common Stockholders. 5 Net Noninterest Income Calculation Question No. 2: Please fill in the missing items (numbered from 1 to 6) from the below report of condition for Jasper National Bank. Total assets Report of Condition 15,000 Cash and due from depository 522 institutions Securities Federal funds sold 1,398 270 1. Gross loans Loan loss allowance (ALL) 1,200 Net loans 10,200 Trading accounts assets 120 2. Bank premises and fixed assets Goodwill and other intangibles Other real estate owned All other assets 3.Total liabilities and capital 4.Total liabilities 5. Total deposits 1,200 90 1,050 Federal funds purchased 480 Trading liabilities 60 Other borrowed funds 300 Subordinated debt 2,880 All other liabilities 240 6. Total equity capital Perpetual preferred stock 12 Common stock 144 Surplus 864 Undivided profits 420 Calculations 88% 3G II. Safari (X 9:03 . Question No. 3: Consider the following bank balance sheet and associated average interest rates. The time frame for rate sensitivity is one year. Assets Rate sensitive Fixed-rate Noneaming Total Amount Rate Liabilities & equity Amount Rate $22,800 6% Rate sensitive $21,600 4% 24,000 9% Fixed-rate 22,800 7% 4,800 Nonpaying liabilities 7,200 $51,600 Total $51.600 1. Calculate the Bank's GAP, expected Net Interest Income, and Net Interest Margin if interest rates and portfolio composition remain constant during the year. This bank is positioned to profit if interest rates move in which direction? 1. Bank's GAP: 2. Net Interest Income: 3. Net Interest Margin: Question No. 4: Clinton National Bank holds assets and liabilities whose average durations and dollar amounts are shown in this table: Asset and Liability Items Investment grade bonds Deposits Consumer loans Commercial loans Non-deposit borrowings Average Duration (years) 18 1.4 6 3.5 6 Dollar Amount (Millions) 600 3.200 1,200 4,000 200 1. What is the weighted-average duration of Clinton bank's assets portfolio and liability portfolio? What is its leverage-adjusted duration gap? 1. DA 2. D Question No. 5: Using the following information for New River National Bank, calculate that bank's ratios of Tier I-capital-to-risk-weighted assets and total-capital-to-risk-weighted assets under the terms of the Basel I agreement. Does the bank have sufficient capital? 1. On-balance-sheet items (Assets) Loans to corporations U.S. treasury securities Deposits due from banks Secured loans Cash Answer: Amounts $ 150,000 Off-balance-sheet items Long-term unused commitments Amounts $ 170,000 70,000 SLCS 160,000 60,000 Total off-balance-sheet item 350,000 140,000 Tier I capital 11,000 20,000 Tier II capital 10,000