Calculate repricing gap and impact on net interest income

Assignment Help Financial Management

Reference no: EM131851712

Calculate the repricing gap and the impact on net interest income of a 400 basis points increase in interest rates for each of the following positions.

a) Rate sensitive assets 400 million. Rate sensitive liabilities 200 million

b) Rate sensitive assets 600 million. Rate sensitive liabilities 300 million

Reference no: EM131851712

Questions Cloud

Increase the dividend at constant rate : Rivertown Inc. paid a dividend of $.80 last year. The company expects to increase the dividend at a constant rate of 5% per year, indefinitely.

Suppose the quote on pounds : Suppose the quote on pounds is $1.624-1.631 (bid-ask). If you converted $10,000 to pounds and then back to dollars, how many dollars would you end up with?

How much will it reduce amount of time left to pay off loan : You have some extra cash this month and you are considering putting it toward your car loan. how much will it reduce amount of time left to pay off your? loan?

What is the implicit borrowing rate being paid by customers : What is the implicit borrowing rate being paid by customers who choose to defer payment for the month?

Calculate repricing gap and impact on net interest income : Calculate the repricing gap and the impact on net interest income of a 400 basis points increase in interest rates

What’s the bond current yield and capital gain yield : The bond currently sells for $1318. What’s the bond’s current yield, and capital gain yield? What’s the bond’s yield to maturity?

Prepare financial plan for a mobile lawn repair company : Prepare a Financial Plan for a Mobile Lawn Repair Company. technology needed to diagnose and repair lawn equipment at customer's residence or business.

What is beta of your portfolio : You construct a portfolio to match your friend's return. What is the beta of your portfolio?

The portfolio weight on the squirrel position is nothing : You have a portfolio of two? stocks: one long position and one short position. The portfolio weight on the Squirrel position is nothing.

User Account

All Pages