Suppose that the value of a banks assets is $40 billion and the value of its liabilities

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Suppose that the value of a bank’s assets is $40 billion and the value of its liabilities is $36 billion. If the bank has a 2% ROA, then what is its ROE?

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Money, Banking, and the Financial System

ISBN: 978-0134524061

3rd edition

Authors: R. Glenn Hubbard, Anthony Patrick O'Brien

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Question Posted: Jan 03, 2019 10:18 AM

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Suppose that the value of a banks assets is $40 billion and the value of its liabilities

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Money, Banking, and the Financial System

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