Solve for Net Income After Taxes Total Interest Income Total Int. Expenses Question No. 1: Given Data Net interest income Provision for loan loss Total non-interest expenses Total interest income Income taxes Increase in bank's undivided profits Total non-interest income Securities gain (losses) Extraordinary items 270 30 280 1020 20 28 120 (10) (5) Provision Loan Loss Noninterest Income Noninterest expenses Pretax Securities losses Pretax net Tax Before Extraordinary Net Income after Taxes Using the above data please calculate the following items: No. Item 1 Calculation 1 Net Income after Taxes 2 Total Operating Revenues Total Operating Expenses 3 to 4 Dividends Paid Common Stockholders. 5 Net Noninterest Income Question No. 2: Please fill in the missing items (numbered from 1 to 6) from the below report of condition for Jasper National Bank. Report of Condition Total assets 5000 Calculations 174 Cash and due from depository institutions Securities 466 Federal funds sold 90 1. Gross loans Loan loss allowance (ALL) 400 Net loans 3400 40 400 30 350 Trading accounts assets 2. Bank premises and fixed assets Goodwill and other intangibles Other real estate owned All other assets 3.Total liabilities and capital 4.Total liabilities 5. Total deposits Federal funds purchased Trading liabilities Other borrowed funds Subordinated debt All other liabilities 6. Total equity capital Perpetual preferred stock 160 20 100 960 80 4 Common stock 48 288 Surplus Undivided profits 140 Question No. 3: Consider the following bank balance sheet and associated average interest rates. The time frame for rate sensitivity is one year. Assets Amount Rate Liabilities & equity Amount Rate Rate sensitive $7,600 6% Rate sensitive $7,200 4% Fixed-rate 8,000 9% Fixed-rate 7,600 7% Nonearning 1,600 Nonpaying liabilities 2,400 Total $17,200 Total $17,200 1. Calculate the Bank's GAP, expected Net Interest Income, and Net Interest Margin if interest rates and portfolio composition remain constant during the year. This bank is positioned to profit if interest rates move in which direction? 1. Bank's GAP: 2. Net Interest Income: 3. Net Interest Margin: Question No. 4: Clinton National Bank holds assets and liabilities whose average durations and dollar amounts are shown in this table: Asset and Liability Items Average Duration (years) Dollar Amount (Millions) Investment grade bonds 18 600 Deposits 1.4 3,200 Consumer loans 6 1,200 Commercial loans 3.5 4,000 Non deposit borrowings 6 200 1. What is the weighted average duration of Clinton bank's assets portfolio and liability portfolio? What is its leverage-adjusted duration gap? 1. DA 2.DL 3. The gap: Solve for Net Income After Taxes Total Interest Income Total Int. Expenses Question No. 1: Given Data Net interest income Provision for loan loss Total non-interest expenses Total interest income Income taxes Increase in bank's undivided profits Total non-interest income Securities gain (losses) Extraordinary items 270 30 280 1020 20 28 120 (10) (5) Provision Loan Loss Noninterest Income Noninterest expenses Pretax Securities losses Pretax net Tax Before Extraordinary Net Income after Taxes Using the above data please calculate the following items: No. Item 1 Calculation 1 Net Income after Taxes 2 Total Operating Revenues Total Operating Expenses 3 to 4 Dividends Paid Common Stockholders. 5 Net Noninterest Income Question No. 2: Please fill in the missing items (numbered from 1 to 6) from the below report of condition for Jasper National Bank. Report of Condition Total assets 5000 Calculations 174 Cash and due from depository institutions Securities 466 Federal funds sold 90 1. Gross loans Loan loss allowance (ALL) 400 Net loans 3400 40 400 30 350 Trading accounts assets 2. Bank premises and fixed assets Goodwill and other intangibles Other real estate owned All other assets 3.Total liabilities and capital 4.Total liabilities 5. Total deposits Federal funds purchased Trading liabilities Other borrowed funds Subordinated debt All other liabilities 6. Total equity capital Perpetual preferred stock 160 20 100 960 80 4 Common stock 48 288 Surplus Undivided profits 140 Question No. 3: Consider the following bank balance sheet and associated average interest rates. The time frame for rate sensitivity is one year. Assets Amount Rate Liabilities & equity Amount Rate Rate sensitive $7,600 6% Rate sensitive $7,200 4% Fixed-rate 8,000 9% Fixed-rate 7,600 7% Nonearning 1,600 Nonpaying liabilities 2,400 Total $17,200 Total $17,200 1. Calculate the Bank's GAP, expected Net Interest Income, and Net Interest Margin if interest rates and portfolio composition remain constant during the year. This bank is positioned to profit if interest rates move in which direction? 1. Bank's GAP: 2. Net Interest Income: 3. Net Interest Margin: Question No. 4: Clinton National Bank holds assets and liabilities whose average durations and dollar amounts are shown in this table: Asset and Liability Items Average Duration (years) Dollar Amount (Millions) Investment grade bonds 18 600 Deposits 1.4 3,200 Consumer loans 6 1,200 Commercial loans 3.5 4,000 Non deposit borrowings 6 200 1. What is the weighted average duration of Clinton bank's assets portfolio and liability portfolio? What is its leverage-adjusted duration gap? 1. DA 2.DL 3. The gap