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Question 2 (10 points) Given the following information for the SPACE Matrix, calculate the following: Compute all necessary figures for FP, IP, SP, & CP.

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Question 2 (10 points) Given the following information for the SPACE Matrix, calculate the following: Compute all necessary figures for FP, IP, SP, & CP. Please show ALL OF YOUR WORK for each part of the calculations for each position Compute the X and Y coordinates. Show the equation and all of your work. State which quadrant it falls in and what are all of the corresponding strategies listed in that quadrant. (There is no need explain beyond what I asked for in the instructions and there is no need to construct an actual graph) . Financial Position Ratings The bank's primary capital ratio is 5.50 percent, which is .50 percentage points below the generally required, ratio of 6 percent. 3.0 The bank's return on assets is positive.26, compared to a bank industry average ratio of positive 0.70, 1.0 The bank's net income was $112 million, down 38 percent from a year 1.0 earlier The bank's revenues decreased 20 percent to $800 million 1.0 Industry Position Deregulation provides geographic and product freedom 5.0 Deregulation increases competition significantly in the banking industry. 1.0 Pennsylvania's interstate banking law does not allow the bank to acquire other banks in New Jersey, Ohio, Kentucky, Maryland, North Carolina, the District of 1.0 Columbia, and West Virginia. Stability Position Less-developed countries are experiencing high inflation and political instability affecting our industry. -6.0 Headquartered in Pittsburgh, the bank historically has been heavily dependent on the steel, oil, and gas industries. These industries are suffering. -6.0 Banking deregulation has created major instability throughout the industry, -5.0 Comnotitive Dacitinn Competitive Position The bank provides data processing services for more than 950 institutions in 45 states - 1.0 Superregional banks, international banks, and nonbanks are becoming increasingly competitive. -5.0 The bank has a considerably smaall customer base compared to their rivals. -6.0 Question 2 (10 points) Given the following information for the SPACE Matrix, calculate the following: Compute all necessary figures for FP, IP, SP, & CP. Please show ALL OF YOUR WORK for each part of the calculations for each position Compute the X and Y coordinates. Show the equation and all of your work. State which quadrant it falls in and what are all of the corresponding strategies listed in that quadrant. (There is no need explain beyond what I asked for in the instructions and there is no need to construct an actual graph) . Financial Position Ratings The bank's primary capital ratio is 5.50 percent, which is .50 percentage points below the generally required, ratio of 6 percent. 3.0 The bank's return on assets is positive.26, compared to a bank industry average ratio of positive 0.70, 1.0 The bank's net income was $112 million, down 38 percent from a year 1.0 earlier The bank's revenues decreased 20 percent to $800 million 1.0 Industry Position Deregulation provides geographic and product freedom 5.0 Deregulation increases competition significantly in the banking industry. 1.0 Pennsylvania's interstate banking law does not allow the bank to acquire other banks in New Jersey, Ohio, Kentucky, Maryland, North Carolina, the District of 1.0 Columbia, and West Virginia. Stability Position Less-developed countries are experiencing high inflation and political instability affecting our industry. -6.0 Headquartered in Pittsburgh, the bank historically has been heavily dependent on the steel, oil, and gas industries. These industries are suffering. -6.0 Banking deregulation has created major instability throughout the industry, -5.0 Comnotitive Dacitinn Competitive Position The bank provides data processing services for more than 950 institutions in 45 states - 1.0 Superregional banks, international banks, and nonbanks are becoming increasingly competitive. -5.0 The bank has a considerably smaall customer base compared to their rivals. -6.0

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