4. Suppose Bank Alpha has the following end-year 2016 balance sheet: Liabilities Assets Rate sensitive assets...

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4. Suppose Bank Alpha has the following end-year 2016 balance sheet: Liabilities Assets Rate sensitive assets £ 50m Fixed rate assets £100m Total £150m F Rate sensitive liabilities. £70m Fixed rate liabilities £80m Total £150m What is the change in profits if interest rates rise by 6%? a) £0m b) -£7.2m c) -£1.2m d) £7.2m 4. Suppose Bank Alpha has the following end-year 2016 balance sheet: Liabilities Assets Rate sensitive assets £ 50m Fixed rate assets £100m Total £150m F Rate sensitive liabilities. £70m Fixed rate liabilities £80m Total £150m What is the change in profits if interest rates rise by 6%? a) £0m b) -£7.2m c) -£1.2m d) £7.2m