3. The total interest expense is half the Net Interest Income that is $225,000 which represent 80% from the adjusted operating income. The profit margin is 4.4% and the asset utilization ratio is 45% and the capitalization ratio is 25%. Then how much does ROE exceeds ROA of this Bank if the average earning assets are 65% from the total assets? choose the nearest choice O 1.98% O 2.33% O 5.94% O 10% O None of the above

3. The total interest expense is half the Net Interest Income that is $225,000 which represent 80% from the adjusted operating income. The profit margin is 4.4% and the asset utilization ratio is 45% and the capitalization ratio is 25%. Then how much does ROE exceeds ROA of this Bank if the average earning assets are 65% from the total assets? choose the nearest choice O 1.98% O 2.33% O 5.94% O 10% O None of the above

Name: 3. The total interest expense is halfthe Net Interest Income that is$
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Description: 3. The total interest expense is halfthe Net Interest Income that is$225,000 which represent 80% fromthe adjusted operating income. Theprofit margin is 4.4% and the assetutilization ratio is 45% and thecapitalization ratio is 25%. Then howmuch does

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

Given the following cash flow, what would be the value of P if the inflows and outflows balance each other at an interest rate of 6%? Year 0 Inflows $5,000 Outflows 1 ($4,500) 23456 4P -12P 8P 16P ($7,500) 7 8 24P OO $173 $238 $268 $291
Stella deposits $1,250 in a bank account that pays 10.5% Interest compounded monthly. In 7 years, how much does she have in this account? t=0 $1250 n Cash Flow Diagram ------------- N Time Value of Money (TVM) Framework PV PMT FV type CPT What Excel function and arguments to that function would you use to compute this value? =function rate, nper, pmt. [PV], [type]) What is the compounding factor that would be used to compute the growth of the principal after one year?
An amount of $16,250 is invested at 13% simple interest for 275 days. a.) What are the exact and ordinary interests? b.) Compare the results from a. How much more interest would you earn if you chose the higher value?
1. Discounted Payback (DCPB) and IRR analysis. Use the cash flow situation (table below) to answer. a. Determine the DCPB based on a MARR rate of 8.0% b. Determine the IRR Year Cash Flow (in $1000's) 0 1 -5500 +1500 2 +1800 3 +1500 4 +1800 5 6 +1500 +1800 7 +1500
What value of T makes these two cash flow diagrams (see figure) economically equivalent at 15% annual interest? (Show complete solution)
In the example below, we will use year-end assets. Bank A receives $70 in deposits at 5% and, together with 40 in equity, makes a loan of $90 at 7%. The remaining of assets is G-Bond. We will ignore taxes for the moment. Bank A Cash Reserves for Deposit ? Loan 7% $90 G-Bond 5% ? Deposits 5% $70 Equity $40 Total Assets $? Total Equity and Deposit $110 If Cash Reserves for deposit is at least 8% of the deposit under the Basel Accord, how much of the G-Bond Bank A should purchase? $17 $14 $16 $18 $20 $15 $19 $21
For what value of X would the cash flow have a present value of -$4,900 assuming the money was invested in an account earning 4% interest compounded annually? $2,200 O tA $ i = 4% 1 $2,500 2 Click here to access the TVM Factor Table calculator. $3,500
Need answers ASAP... If P100 is deposited in a savings account that pays 6% annual interest, what amount has accumulated by the end of the eighth year? How much of this is interest and how much is principal? Draw the cash flow diagram.
Nelto deposits $2,500 in a bank account that pays 3% interest compounded quarterly. Two years later, how much do they have in their bank account? C 1 t=0 n Cash Flow Diagram ….....…... Time Value of Money (TVM) Framework PV PMT FV type How to compute using Excel? -function( rate, nper, pmt, [PV]. [type]) n CPT
Suppose you borrow $1,000,000 when financing a coffee shop which is valued at $1,300,000. You expect to generate a cash flow of $1,400,000 at the end of the year. The cost of debt is 5.5%. What is the cost of equity? Note: Express your answers in strictly numerical terms. For example, if the answer is 5%, write 0.05
Choose the correct letter of answer: Company D's current assets and current liabilities are P200,000.00 and P140,000.00 respectively. How much additional funds can it borrow from banks for short term, without reducing the current ratio below 1.33? a. P13,800.00b. P86,200.00c. P52,612.00d. P35,870.00e. P41,818.00
Determine the value of Z on the left-hand side of the cash flow diagram below that establishes equivalence with the right-hand side. The interest rate is 4% per year.

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