Question: please help. thank you Given the following information: Assets $ Rate Liabilities & Equity $ Rate Rate-Sensitive 3,000 10% Rate-sensitive 2,000 8% Non-rate-sensitive 1,500 9%

 please help. thank you Given the following information: Assets $ Rate please help. thank you

Given the following information: Assets $ Rate Liabilities & Equity $ Rate Rate-Sensitive 3,000 10% Rate-sensitive 2,000 8% Non-rate-sensitive 1,500 9% Non-rate-sensitive 2,000 7% Non-earning 500 Equity 1,000 5,000 5,000 a. What is the dollar gap? Net interest income? Net interest margin? How much will the net interest income change if interest rates fall by 200 basis points ? b. What changes in portfolio composition would you recommend to management if you expect interest rates to increase? Be specific

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