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Suppose the management of the First National Bank of New York decides that it needs to expand its fee-income generating services. Among the services the

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Suppose the management of the First National Bank of New York decides that it needs to expand its fee-income generating services. Among the services the bank is considering adding to its service menu are investment banking, the brokening of mutual funds, stocks, bonds and annutes, sales of de and casually insurance policies and offering personal and commercial rate A. Based on what you read in this chapter, listas many potential advantages as you can that might come to First National as a result of adding these services to its menu b. What potential disadvantagos might the bank encounter from selling these foo generating service? c. Are there risks to the bank from developing and offering services such as there? If so, can you think of ways to lower the bank's risk exposure from offering these new services & What might happen to the size and volatility of revenues, expenses, and profitability from selling fee-based services like those mentioned above

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