The Internal Assessment Essay Example | Topics and Well Written Essays - 500 words

The Internal Assessment - Essay Example Service spending showed a modest rebound in the later parts of the year. The core inflation declined in the year 2013 to as low as almost full percentage point below the Board of Governors of Federal Reserve System’s long term target. The Board of Governors of Federal Reserve System’s long term target was at 2%. The bank also experienced an increase in US household net worth in the year 2013. There was an approximate growth of 12% in the home prices in the year 2013. However, signs of deceleration were seen in the final parts of the year. The treasury yield also experienced a rise over the course of the year despite the speculations that the Federal Reserve would adjust their pace of purchasing mortgage backed securities. Despite the fact that there was a federal government shutdown in the month of October, there was very minimal impact on the performance of the economy of the United States of America. the federal reserve made an announcement that it will reduce its security purchases in the year 2014. However, they had no intentions of raising the federal fund rates unless the employment rate had reaches the 6.5% threshold. Non-interest expense experienced a decrease from $2.9 billion to $69.2 billion. With relation to the project New BAC, which was first introduced during the third quarter of 2011, the bank continued to get cost saving in some noninterest expense categories (Adrien, Anderson, Garden, Lusthaus and MontalvaÃŒ n 89). This helped them in the process of streamlining their workforce. The bank expects the total savings from this project to get to $12 billion by the year 2015. $1.5 billion per quarter of the same has already been realized by the year 2014. The bank’s effective tax rate for 2013 was driven by their recurring tax preference items and by some tax benefits relating to non-U.S. operations, including additional tax benefits from the 2012 non- U.S. restructurings. These benefits were partially offset by the $1.1 billion