Q2. Company XYZ Inc Balance sheet 31 December 2020. Millions $ ASSETS Liabilities Cash Reserves 20.00 3.00 Deposits Time Deposits (1 Year) Investments (1year) 16.00 15.00 Consumer Loans (1 Year) 15.00 Year)20.00 Certificates of Deposit (5 Commercial Loans(1 year) 25.00 Commercial Loans 2-5Years 30.0 40.00 Mortgages Variable 20.00 20.00 MoneyMarket Loans Central Bank Borrowings Mortgages Fixed 5.00 25.00 Retained Earnings 14.00 134.00 Capital Total 134.00 Current interest rate is 5.00% per annum and the central bank raises the rate by 1.5% per annum overnight to fight inflation. Using Gap analysis calculate the short term effect of the interest rate change on the bank using the above balance sheet and calculate the change in net worth overnight. Show all calculations (10 marks) Q2. Company XYZ Inc Balance sheet 31 December 2020. Millions $ ASSETS Liabilities Cash Reserves 20.00 3.00 Deposits Time Deposits (1 Year) Investments (1year) 16.00 15.00 Consumer Loans (1 Year) 15.00 Year)20.00 Certificates of Deposit (5 Commercial Loans(1 year) 25.00 Commercial Loans 2-5Years 30.0 40.00 Mortgages Variable 20.00 20.00 MoneyMarket Loans Central Bank Borrowings Mortgages Fixed 5.00 25.00 Retained Earnings 14.00 134.00 Capital Total 134.00 Current interest rate is 5.00% per annum and the central bank raises the rate by 1.5% per annum overnight to fight inflation. Using Gap analysis calculate the short term effect of the interest rate change on the bank using the above balance sheet and calculate the change in net worth overnight. Show all calculations (10 marks)