Question 4 [12 points] Now suppose there is bank in the above economy. The bank provides loans to rms and keeps information secret. Consumers do not observe whether the rm needs more funding or not. At t=2 the bank is liquidated and consumers who have deposits with the bank get back what the bank owns at t=2. The bank offers the early consumer the following demand deposit contract. Ifthe early consumer deposits $100 at t=0, he can withdraw $100 at t=1. The bank offers the late consumer the following contract. If he deposits $100 at t=1, he gets back the loan that the rm repays to the bank since the bank is liquidated at t=2. a) What loan contract does the rm offer the bank so as to get $100 from the bank? Does the early consumer deposit $100 at t=0 and does the late consumer deposit $100 at t=1? [10 Points] b) What is the expected prot of the rm? [2 Points]