Use the balance sheet shown below for United First Bank (UFB) to answer the following questions:

Balance Sheet of United First Bank as of December 31, 2015 (thousands of dollars)
Assets			Liabilities & Capital
Required reserves	$90		Demand deposits	$35
Federal funds sold	$30		NOW accounts	$210
90-day T-bills	$75		MMDAs	$340
180-day T-notes	$120		3-month CDs	$250
5-year T-bonds	$480		5-year CDs	$795
Fixed-rate consumer loans	$150		6-month commercial paper	$40
Floating-rate commercial loans	$170		Fixed-rate bonds	$430
Fixed-rate commercial loans	$325		Equity capital	$900
Floating-rate mortgages	$125		Total Liabilities & Capital	$3,000
Fixed-rate mortgages	$735
Other fixed assets	$700
Total Assets	$3,000

1. Identify by name the individual rate-sensitive assets (RSAs) for UFB. What is the total dollar amount for the RSAs?s Note: An asset or liability with an interest rate subject to change within a year is considered rate sensitive.

2. Identify by name the individual rate-sensitive liabilities (RSLs) for UFB. What is the total dollar amount for the RSLs?

3. Estimate UFBs maturity gap.

4. Given the maturity gap calculation found above, if UFB expects interest rates to decrease, should it consider hedging its interest rate risk? Why or why not?