Question: a. what is WatchoverU's expected net interest at year end? b. WHat will be the net interest income at year end if interest rates rise
a. what is WatchoverU's expected net interest at year end?
b. WHat will be the net interest income at year end if interest rates rise by 4 percent?
Consider the following balance sheet for Watchover Savings Inc. (S in millions Floating-rate mortgages (currently 135 annually) 30-year fixed-rate loans (currently 100 annually) $ 59 Liabilities NOW accounts (currently 95 annually) Time deposits (currently 9 annually) Equity Total a. What is WatchoverU's expected net interest income at year-end? b. What will be the net interest income at year-end if interest rates rise by 4 percent? (For all requirements, do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places. (e.g. 32.16)) a Net interest income b. Net interest income million million
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