Evaluating Bank performance -Problem Two Given the following information for MSH bank, knowing that this is the overall financial data and any missing data refer to a zero account. Also, all the investments accounts in the assets section are considered to be short-term with maturity less than one year. Answer questions 1 to 11 below: Cash and due from banks $250,000 Fed Funds Sold Investment Securities Loans Fixed Assets Total Assets $ $925,000 Demand Deposits Time Deposits Federal Funds Purchased Equity $ 73,342,000 34,450,000 $ 2,298,000 $ $ 13,840,000 Total Liabilities and Equity $ 123,930,000 tax rate interest on loans interest on investments interest on time deposits $ 95,555,000 $ 27,200,000 $123,930,000 40% 15.40% 8.30% 4.85% 6.10% $120,000 75% interest on federal funds purchased No interest on demand deposits Overhead Expenses Earning assets % of total assets 1- The Net Interest Income is: a- $12,981,242 b- $13,375,650 c- $21,562,790 d- $17,550,550 e- None of the above

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
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Chapter6: Cash And Receivables
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Problem 12C: Researching GAAP Situation Hamilton Company operates in an industry with numerous competitors. It is...
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Evaluating Bank performance -Problem Two
Given the following information for MSH bank, knowing that this is the overall financial
data and any missing data refer to a zero account. Also, all the investments accounts in the
assets section are considered to be short-term with maturity less than one year. Answer
questions 1 to 11 below:
$ 73,342,000
Demand Deposits
Time Deposits
Cash and due from banks
$ 250,000
24
34,450,000
$ 2,298,000O
24
$ 925.000
$ 95,555,000
$ 27,200,000
$ 123,930,000
Fed Funds Sold
Investment Securities
Federal Funds Purchased
$ 13,840.000
Equity
Total Liabilities and Equity $ 123.930,000
Loans
Fixed Assets
Total Assets
tax rate
40%
interest on loans
15.40%
interest on investments
8.30%
4.85%
interest on time deposits
interest on federal funds purchased
No interest on demand deposits
Overhead Expenses
Earning assets % of total assets
6.10%
$120,000
75%
1- The Net Interest Income is: *
a- $12,981,242
b- $13,375,650
c- $21,562,790
d- $17,550,550
e- None of the above
Transcribed Image Text:Evaluating Bank performance -Problem Two Given the following information for MSH bank, knowing that this is the overall financial data and any missing data refer to a zero account. Also, all the investments accounts in the assets section are considered to be short-term with maturity less than one year. Answer questions 1 to 11 below: $ 73,342,000 Demand Deposits Time Deposits Cash and due from banks $ 250,000 24 34,450,000 $ 2,298,000O 24 $ 925.000 $ 95,555,000 $ 27,200,000 $ 123,930,000 Fed Funds Sold Investment Securities Federal Funds Purchased $ 13,840.000 Equity Total Liabilities and Equity $ 123.930,000 Loans Fixed Assets Total Assets tax rate 40% interest on loans 15.40% interest on investments 8.30% 4.85% interest on time deposits interest on federal funds purchased No interest on demand deposits Overhead Expenses Earning assets % of total assets 6.10% $120,000 75% 1- The Net Interest Income is: * a- $12,981,242 b- $13,375,650 c- $21,562,790 d- $17,550,550 e- None of the above
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