The financial statements for THE Bank are shown below:
Balance Sheet THE Bank
Assets
Liabilities and...
The financial statements for THE Bank are shown below:
Balance Sheet THE Bank
Assets
Liabilities and Equity
Cash
$
220
Demand deposits
$
2,470
Demand deposits from other FIs
620
Small time deposits
4,820
Investments
1,820
Jumbo CDs
1,445
Federal funds sold
920
Federal funds purchased
1,020
Loans
6,920
Equity
815
Reserve for loan losses
(700
)
Premises
770
Total assets
$
10,570
Total liabilities/equity
$
10,570
Income Statement THE Bank
Interest income
$
2,470
Interest expense
1,650
Provision for...
Use the data provided for Gotbucks Bank, Inc., to answer this
question.
Gotbucks Bank, Inc. (in...
Use the data provided for Gotbucks Bank, Inc., to answer this
question.
Gotbucks Bank, Inc. (in $ millions)
Assets
Liabilities and Equity
Cash
$
45
Core deposits
$
28
Federal funds
35
Federal funds
65
Loans
(floating)
120
Euro CDs
145
Loans (fixed)
80
Equity
42
Total assets
$
280
Total liabilities
and equity
$
280
Notes to the balance sheet: Currently, the fed funds rate is 10
percent. Variable-rate loans are priced at 3 percent over LIBOR
(currently at...
The bank balance sheet below lists the categories of assets and
liabilities, along with the total...
The bank balance sheet below lists the categories of assets and
liabilities, along with the total amount of each
category, and the amount in each category that is "interest rate
sensitive" or repriced within one year.
Calculate the existing Dollar Gap for the bank. Next, calculate the
effect (change) on this bank's Net Interest
Income if interest rates fall or decrease by 0.50 percentage points
or 50 bp. "%" denotes either the current
interest rate earned earned or paid on...
Current Assets 30,000,000 Current Liabilities 20,000,000
Fixed Assets 70,000,000 Notes Payable 10,000,000
Total Assets: 100,000,000 Long-term...
Current Assets 30,000,000 Current Liabilities 20,000,000
Fixed Assets 70,000,000 Notes Payable 10,000,000
Total Assets: 100,000,000 Long-term debt 30,000,000
Common Stock 1,000,000
Retained Earnings 39,000,000
Total liabilities & Equity 100,000,000
The notes payable are to banks, and the interest rate on this
debt is 7%, the same as the rate on new bank loans. These bank
loans are not used for seasonal financing but instead are part of
the company's permanent capital structure. The long-term debt
consists of 30,000 bonds, each...