What are the five c involved in a bank''s decision

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a. What are the five C's involved in a bank's decision to make a loan. Please provide a brief explanation of each.

b. Stern Bears, a securities dealer, has a leverage-adjusted duration gap of 1.21 years, $60 million in assets, 7 percent equity to assets ratio, and market rates are 8 percent.

What is the impact on the dealer's market value of equity per $100 of assets if the change in all interest rates is an increase of 0.5 percent [i.e., ΔR = 0.5 percent]

Reference no: EM132480964

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