Question 4

Hadbucks National Bank current balance sheet appears below. All assets and liabilities are currently priced at par and pay interest annually. What is market value of the ten-year loan if all market interest rates increase by 2 percent?

		$40.000 million.
		$44.916 million.
		$37.830 million.
		$42.356 million.
		$35.827 million.