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The financial statements for MHM Bank (MHM) are shown below: Balance Sheet MHM Bank Assets Liabilities and Equity Cash and due from banks $ 1,940
The financial statements for MHM Bank (MHM) are shown below: Balance Sheet MHM Bank Assets Liabilities and Equity Cash and due from banks $ 1,940 Demand deposits Demand deposits at other FIS 1,300 Small time deposits Investments 6, 110 Jumbo CDs Federal funds sold 3,010 Federal funds purchased Loans (less reserve for loan losses of 2,600) 20,090 Other liabilities Premises 2,290 Equity Total assets $34,740 Total liabilities/equity $10,640 10,370 7,690 490 2,240 3,310 $34,740 Income Statement MHM Bank Interest income Interest expense Provision for loan losses Noninterest income Noninterest expense Taxes $ 4,098 2,064 300 720 995 255 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)) b. a. MHM's earning assets MHM's interest-bearing liabilities c. MHM's spread d. MHM's interest expense ratio
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