Difference between bank goals and bank objectives

Assignment Help Finance Basics
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?

Reference no: EM132764577

Questions Cloud

Calculate liquidation value of boti ltd : Due current economic uncertainty, the owners of BoTi ltd have decided to sell their business and to value it using the liquidation approach.
What journal entries did lenovo record : What journal entries did Lenovo record in 2009 relative to their securities available for sale. Assume no taxes. Note that the line for Gain/Loss on Sale
Compute the value of the equity and the debt : a) Compute the value of the equity and the debt of the firm. Explain in detail your procedure (There is no need for formulas but you can use them).
What amount of the notes payable that be grateful classify : Included in Be Grateful Company, On December 31, 2018, balance sheet, the amount of the notes payable that Be Grateful should classify as current liability?
Difference between bank goals and bank objectives : discuss the difference between bank goals and bank objectives in the planning process. What is the ultimate objective of bank?
What purchase the advanced machine : The marginal corporate tax rate is 30% Should Beryl's Iced Tea continue to rent, purchase its current machine, or purchase the advanced machine?
Do you identify any competitors : what is the product/service idea that you've developed as a team? The idea is one that's been thought through and selected by the team and you should indicate
Show that the net annual yield : Show that the net annual yield
Find what the total profit share of hernan would be : Partner Hernan is to receive a bonus of 10% of the profit after bonus. Assuming profits of P44,000 in 2019, the total profit share of Hernan would be

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd