Practice Exam 1B 1. County Bank has the following market value balance sheet (in millions, annual rates). All securities are selling at par equal to book value. $100 Assets Cash $20 15-year commercial loan @ 10% interest, balloon payment $160 30-year Mortgages @ 8% interest, balloon payment $300 Total Assets $480 Liabilities and Equity Demand deposits 5-year CDs @ 6% interest, balloon payment 20-year debentures @ 7% interest Equity Total Liabilities & Equity $210 $120 $50 $480 Assume all interest rates increase by 100 basis points. Calculate the new market value of equity CLA loan MTG ASSETS EQUITY $148.494609 $269.179038 $437.673647 $ 28.065839 CDs Deben LIAB $201.389585 $108.218223 $409.607808 2. Use the following market value balance sheet (Smillions) information for all questions. Practice Exam 1B 1. County Bank has the following market value balance sheet (in millions, annual rates). All securities are selling at par equal to book value. $100 Assets Cash $20 15-year commercial loan @ 10% interest, balloon payment $160 30-year Mortgages @ 8% interest, balloon payment $300 Total Assets $480 Liabilities and Equity Demand deposits 5-year CDs @ 6% interest, balloon payment 20-year debentures @ 7% interest Equity Total Liabilities & Equity $210 $120 $50 $480 Assume all interest rates increase by 100 basis points. Calculate the new market value of equity CLA loan MTG ASSETS EQUITY $148.494609 $269.179038 $437.673647 $ 28.065839 CDs Deben LIAB $201.389585 $108.218223 $409.607808 2. Use the following market value balance sheet (Smillions) information for all questions