PLEASE ANSWER QUESTIONS A AND B Income Stmt Interest Income Securities Comm'l Lines of...

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Finance

PLEASE ANSWER QUESTIONS A AND Bimage

Income Stmt Interest Income Securities Comm'l Lines of Credit Comm'l Term Balance ($ millions) 208.575 465.235 1215.110 Interest Rate 1.250% 3.875% 4.215% Reprices Daily Daily Fixed Interest 2.60718750 18.02785625 51.21688650 $ $ Interest Exp Demand Dep. Money Market Accts. Fed Funds FHLB Borrowing 475.025 1145.625 75.850 124.750 0.000% 0.075% 0.002% 0.045% N/A Daily Daily Fixed $ $ 0.85921875 0.00151700 0.05613750 $ Total Assets Yield on Assets Cost of Funds Spread 2175.055 3.30% 0.04% 3.26% a) What would be the Spread effect of an across-the-boards, variable rate increase of 0.5%? b) What would the Deposit Beta need to be to maintain the Spread, in the face of a variable rate change in assets of 0.5%

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