Assets Market Value Rate Duratien (Years) Lisbiles and Market Value Rate Duration (Yean) Cash Loans T-Bonds Total $200 $550 $350 51.100 Equity Time Deposits CO Equity Total $400 $400 $100 $1.100 500% 7.00 150 10.00N 450 E5.00 5.00% 8.00 What is the bank's duration gap? O 152 O 171 O 199 O 223 O 305

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
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Assets
Market Value
Duration (Years)
Lisbilities and
Equity
Time Deposits
CO
Equity
Total
Rate
Market Value
Rate
Duration (Yean)
Cash
$200
$550
$350
$1,100
$400
$600
$100
5.00%
1.50
5.00
Loans
10.00N
5.00%
4.50
7.00N
T-Bonds
8.00
Total
$1.100
What is the bank's duration gap?
O 152
O 171
O 199
O 223
O 3.05
Transcribed Image Text:Assets Market Value Duration (Years) Lisbilities and Equity Time Deposits CO Equity Total Rate Market Value Rate Duration (Yean) Cash $200 $550 $350 $1,100 $400 $600 $100 5.00% 1.50 5.00 Loans 10.00N 5.00% 4.50 7.00N T-Bonds 8.00 Total $1.100 What is the bank's duration gap? O 152 O 171 O 199 O 223 O 3.05
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