Question: Urgent please Question 2 (16 points) (15 min): Given the following information, please answer the questions that follow: Assets Amount Rate Duration (in lyears) Liabilities

Urgent please Urgent please Question 2 (16 points) (15 min): Given the following information,

Question 2 (16 points) (15 min): Given the following information, please answer the questions that follow: Assets Amount Rate Duration (in lyears) Liabilities Amount Rate 12% Cash Loans Securities Duration (in years) 2.5 y 3 y $150 $650 $250 $1,050 14% Time Deposits CDs Equity 6% 2% 1.2 y 1.5 y $700 $100 $250 $1,050 a. Calculate the weighted average duration of assets (4 points) b. Calculate the weighted average duration of liabilities (4 points) c. Calculate the leverage adjusted duration gap (4 points) d. Based on your results above, explain the effect of interest rate changes on this financial institution (4 points)

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