6. The assets listed below are going to be liquidated to finance
an acquisition. Consider their one-year liquidation value to be
fair market value.
Asset
Face
value
Current
One-year
Liquidation value
Liquidation value
PACCAR
stock
80,000
70,000
77,500
Safeco
bonds
40,000
36,000
39,000
Treasury
bonds
25,000
25,000
25,000
A.Calculate the one-year liquidity index for these
securities.
B.What does your answer mean for the bank?
7. If a bank manager was certain interest rates were going to
rise within...