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The financial statements for MHM Bank (MHM) are shown below: Balance Sheet MHM Bank Assets Cash and due from banks $ 1,950 Demand deposits at
The financial statements for MHM Bank (MHM) are shown below: Balance Sheet MHM Bank Assets Cash and due from banks $ 1,950 Demand deposits at other FIS 1,400 Investments 6,140 Federal funds sold 3,020 Loans (less reserve for loan losses of 2,700) 20, 120 Premises 2,300 Total assets $34,930 Liabilities and Equity Demand deposits Small time deposits Jumbo CDs Federal funds purchased Other liabilities Equity Total liabilities/equity $10,650 10,380 7,700 500 2,380 3,320 $34,930 Income Statement MHM Bank Interest income Interest expense Provision for loan losses Noninterest income Noninterest expense Taxes $4,108 2,094 400 730 1,005 265 a. Calculate the dollar value of MHM's earning assets. b. Calculate the dollar value of MHM's interest-bearing liabilities. c. Calculate MHM's spread. (Do not round intermediate calculations. Round your answer to 3 decimal places. (e.g., 32.161)) d. Calculate MHM's interest expense ratio. (Round your answer to 3 decimal places. (e.g., 32.161)) a MHM's earning assets b. MHM's interest-bearing liabilities c. MHM's spread d. MHM's interest expense ratio
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