FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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. The financial statements for BSW National Bank (BSWNB) are shown below: 

Earning assets: $13,884

Interest-bearing liabilities  (Spread) = $9,012

  1. Calculate BSWNB’s asset utilization ratio.

2. Calculate BSWNB’s net interest margin

Balance Sheet BSW National Bank
Assets
Liabilities and Equity
Cash and due
Demand
from banks
2$
936
deposits
$ 5,040
Small time
Investments
3,100 deposits
4,020
Federal funds sold
1,664
Jumbo CDs
4,680
Federal funds
purchased
Loans (less
reserve for
312
loan losses
of 2,400)
9,120
Equity
1,548
Premises
780
Total
Total assets
$15,600
liabilities/equity
$15,600
Income Statement BSW National Bank
Interest income
$1,150
Interest expense
475
Provision for loan losses
150
Noninterest income
260
Noninterest expense
525
Таxes
60
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Transcribed Image Text:Balance Sheet BSW National Bank Assets Liabilities and Equity Cash and due Demand from banks 2$ 936 deposits $ 5,040 Small time Investments 3,100 deposits 4,020 Federal funds sold 1,664 Jumbo CDs 4,680 Federal funds purchased Loans (less reserve for 312 loan losses of 2,400) 9,120 Equity 1,548 Premises 780 Total Total assets $15,600 liabilities/equity $15,600 Income Statement BSW National Bank Interest income $1,150 Interest expense 475 Provision for loan losses 150 Noninterest income 260 Noninterest expense 525 Таxes 60
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