Northpac Bank has $220 million of rate-sensitive assets and $250 million of rate-sensitive liabilities over 1-year...

Transcribed Image Text:

Northpac Bank has $220 million of rate-sensitive assets and $250 million of rate-sensitive liabilities over 1-year horizon. Suppose that interest rate rises by 7% on RSAS and by 2% on RSLS, what is the expected change in annual net interest income (NII) in $millions? (Please present your answer in terms of millions and round it to the nearest 2 decimal places. E.g. if your answer is 5,111,000, please insert 5.11.) Northpac Bank has $220 million of rate-sensitive assets and $250 million of rate-sensitive liabilities over 1-year horizon. Suppose that interest rate rises by 7% on RSAS and by 2% on RSLS, what is the expected change in annual net interest income (NII) in $millions? (Please present your answer in terms of millions and round it to the nearest 2 decimal places. E.g. if your answer is 5,111,000, please insert 5.11.)

Answer rating: 100% (QA)

NII RSAS x 7 RSLS x 2 220 ... View the full answer