Calculate the leverage adjusted duration gap for balthazar

Assignment Help Financial Management

Reference no: EM13768186

Balthazar's savings bank has assets of 2 million invested in 20 year, 10% coupon Treasury bonds selling at par with duration 7.70 years. Liabilities of 1.8 million are financed with a two year, 8% coupon selling at par.

Calculate the leverage adjusted duration gap for Balthazar?

Reference no: EM13768186

Questions Cloud

Compare a female friend and male friend : COMPARE a female friend and male friend, being a teen to being a toldler and Talking to your mom and talking to your frinds.

Defragmenting a disk precautions : Explain in detail how to defragment a disk. Be sure to list all of the necessary steps and the purpose of each. What precautions should be taken before defragmenting a disk?

The tax treatment regarding the sale of existing assets : The tax treatment regarding the sale of existing assets that are sold for less than the book value results in an ordinary tax benefit. a capital loss tax benefit. recaptured depreciation taxed as ordinary income.

Describe juvenile crime issues in criminal justice system : Describe Juvenile Crime Issues in the Criminal Justice System

Calculate the leverage adjusted duration gap for balthazar : Balthazar's savings bank has assets of 2 million invested in 20 year, 10% coupon Treasury bonds selling at par with duration 7.70 years. Liabilities of 1.8 million are financed with a two year, 8% coupon selling at par. Calculate the leverage adjuste..

What are the ethical and legal considerations : Discuss the advantages and disadvantages of each decision that Elaine has made - What are the ethical and legal considerations facing Elaine, Dennis, and UBC?

What will be the value of her retirement account : Carla Lopez deposits $3,000 a year into her retirement account. If these funds have an average earning of 8 percent over the 40 years until her retirement, what will be the value of her retirement account?

What would kao tzu say about a special needs person : What would Kao Tzu say about a special needs person? Does Kao Tzu ever explain who we ought to follow in order to become good or bad?

Define memory efficiency between arraylist and vector : Compare the CPU efficiency and memory efficiency between ArrayList and Vector.

User Account

All Pages