Consider the following balance sheet for Northern Highland Credit Union (NHCU) before answering parts (i) through (v).Assets ($ million)$Liabilities ($ million)$Cash30Overnight interbank borrowing (7.00%)160T-notes 2 month (7.05%)602-year CD (5%)20T-notes 3 months (7.25%)807 year fixed rate Subordinated debt (8.55%)150T-notes two-year (7.50%)60Equity25T-notes 10-year (8.96%)100 Corporate bonds (>5 years to maturity)25 Total assets355Total liabilities and Equity355 What is the repricing (funding) gap over the 0-to-6 months maturity bucket?

The repricing gap refers to the value of assets and liabilities that will reprice in a specific time…

Answered: Consider the following balance sheet…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter17: Accounting For Notes And Interest

Section: Chapter Questions

Problem 3CE

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Consider the following balance sheet for Northern Highland Credit Union (NHCU) before answering parts (i) through (v).

Assets ($ million)	$	Liabilities ($ million)	$
Cash	30	Overnight interbank borrowing (7.00%)	160
T-notes 2 month (7.05%)	60	2-year CD (5%)	20
T-notes 3 months (7.25%)	80	7 year fixed rate Subordinated debt (8.55%)	150
T-notes two-year (7.50%)	60	Equity	25
T-notes 10-year (8.96%)	100
Corporate bonds (>5 years to maturity)	25
Total assets	355	Total liabilities and Equity	355

What is the repricing (funding) gap over the 0-to-6 months maturity bucket?

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