A bank has da 24 years and dl 09 years the bank has total

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A bank has DA= 2.4 years and DL= 0.9 years. The bank has total equity of $82 million and total assets of $850 million. Interest rates are at 6%.

a.What is the bank's duration gap in years?
b. If interest rates increase 100 basis points then what will be the predicted dollar change in equity value?

Reference no: EM13377436

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