Suppose a Bank Earned $173 Million in Interest on Its

question 44

Multiple Choice

Suppose a bank earned $173 million in interest on its assets of $2,153 million, it paid out $81 million in interest on its liabilities (excluding capital) of $2,007 million, and it paid its workers $71 million in total compensation.The bank's spread is approximately

• A)2 percent.
• B)3 percent.
• C)4 percent.
• D)5 percent.