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Parts A & B You are a risk manager for Security First Trust Savings and Loan (SFTSL). SFTSL's balance sheet is as follows (in millions
Parts A & B
You are a risk manager for Security First Trust Savings and Loan (SFTSL). SFTSL's balance sheet is as follows (in millions of dollars): f (a) What is the duration of SFTSL's equity? (b) Because of a new program called Kash for Klunkers, SFTSL experiences a rash of auto loan prepayments, reducing the size of the auto loan portfolio from $200 million to $100 million and increasing the cash reserves to $200 million. After these prepayments, what is the duration of SFTSL's equityStep by Step Solution
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