Exhibit 21 -Refer to Exhibit 21

question 94

Multiple Choice

Exhibit 21.12
Use the Information Below for the Following Problem(S)
Suppose you are a loan officer for a commercial bank and one of your clients has just approached you about a one-year loan for $4,000,000. Interest on the new loan will be paid at the end of each quarter based on the prevailing level of LIBOR at the beginning of each quarter. The LIBOR yield curve in the cash market is as follows:
$\begin{array}{ll}90 \text {-day LIBOR } & 2.70 \% \\180 \text {-day LIBOR } & 2.85 \% \\270 \text {-day LIBOR } & 3.10 \% \\360 \text {-day LIBOR } & 3.40 \%\end{array}$
-Refer to Exhibit 21.12.What will the dollar level of the bank's interest receipt be at the end of the first quarter?

• A) $26,500
• B) $27,000
• C) $28,500
• D) $108,000
• E) None of the above

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Definitions:

Human Resource

The department in an organization that deals with hiring, training, managing, and retaining employees.

Organizational Strategies

High-level plans that outline how a business will achieve its goals, considering both internal capabilities and external opportunities.

Human Resource Objectives

The goals set by an organization's human resources department to support its workforce and overall business strategy effectively.

Strategic Plans

A comprehensive plan outlining an organization's goals, strategies, and actions to achieve those goals over a specific period.