Consider this scenario and answer the questions that follow.
Each of the following students has the opportunity to travel back in time.
1. "Ronnie" wants to travel back in time to see the dinosaurs; he is willing to pay as much as $200 to use the time machine.
2. "Bobbi" wants to relive this semester; she is willing to pay up to $150 for time travel.
3. "Ricky" canât wait for the semester to end; he is willing to pay up to $125 to use the time machine.
4. "Micah" just wants to get through this class period; she is willing to pay up to $100 to use the time machine.
The demand curve for time travel is:
Price Quantity
1 $200
2 150
3 125
4 100
Required:
(a) Based on this information, make a case for or against price discrimination. Use equations and/or graphs to justify your answer.

Variable rate cd’s = $90 treasury bills = $150 discount loans = $20 treasury notes = $100 fixed rate cds = $160 money market deposit accts. = $140 savings deposits = $90 fed funds borrowing = $40 variable rate mortgage loans $140 demand deposits = $40 primary reserves = $50 fixed rate loans = $210 fed funds lending = $50 equity capital = $120 a. develop a balance sheet from the above data. be sure to divide your balance sheet into rate-sensitive assets and liabilities as we did in class and in the examples. b. perform a standard gap analysis and a duration analysis using the above data if you have a 1.15% decrease in interest rates and an average duration of assets of 5.4 years and an average duration of liabilities of 3.8 years. c. indicate if this bank will remain solvent after the valuation changes. if so, indicate the new level of equity capital after the valuation changes. if not, indicate the amount of the shortage in equity capital.