Reference no: EM132764577
Bank of America faces the following inflows and outflows during the coming month:
1. deposit withdrawals of $66 million
2. Customer loan repayments of $2016 million
3. sales of assets $72 million
4. operating expenses of $204 million
5. new loan request accepted of $588 million
6. deposits of $1340 million
7. borrowings from the money market of $86 million
8. nondeposit service fees of $54 million
9. borrowings to be repaid of $46 million
10. divided payment of $560 million
11. extraordinary expense of $100.
What is Bank of America's projected net liquidity position for the coming month?
Using the information given below calculate the ROA for each of the banks.
Amounts in thousand's
Bank ROE Total Equity Total Asset
1. Barclays bank 4.31% 90.899 443.291
2. National bank 7.45% 1123813 8441249
3. Midland bank 22.79% 51799 386696
4. J.P Morgan 10.67% 41585 381505
5. Qatar bank 16.05% 214.197 2.300.388
1. discuss the difference between bank goals and bank objectives in the planning process. What is the ultimate objective of bank?
2. what constraints do banks face in achieving their goals?
3. explain the difference between a line of credit and a revolving loan.
4. why is government interested in supporting bank liquidity in the face of financial panic? Should very large banks be prevented from failing by the government?
5.which financial ratio is the most important? and what ratio provides the best measure of liquidity?