1. A savings and loan has a return on assets(ROA) of 1.5 percent, and an equity to asset ratio of 8%
1. A savings and loan has a return on assets(ROA) of 1.5 percent, and an equity to asset ratio of 8%. What isits ROE? a. 18.75% b.15.75% c.12.75% d.10.75% 2. A bank has rate-sensitive assets of $100 andrate-sensitive liabilities of $200, which of the following answersis correct for this bank’s funding gap and interest rate risk? . . .