Use the following bank information for questions

-What is the bank's weighted average cost of liabilities?
A)$44
B)$76
C)$80
D)$94
E)$102

Question

Use the following bank information for questions 
 
-What is the bank's weighted average cost of liabilities?
A)$44 
B)$76 
C)$80 
D)$94 
E)$102

Quizplus · Accepted Answer

The bank's weighted average cost of liabilities is $44. This is calculated by multiplying the cost of each type of liability by its weight in the total liabilities. The cost of each type of liability is the interest rate paid on that liability. The weight of each type of liability is the proportion of total liabilities that it represents.

Use the Following Bank Information for Questions