A USbank Has €40 Million in Assets and €50 Million in in CDs.All

question 17

Multiple Choice

A U.S.bank has €40 million in assets and €50 million in CDs.All other assets and liabilities are in U.S.dollars.This bank is

• A)net long €10 million.
• B)net short €10 million.
• C)neither short nor long in €.
• D)net long -€10 million.
• E)net short -€10 million.

---

Definitions:

Standard Deviation

A measure of the amount of variation or dispersion of a set of values.

Average Deviation

A statistical measure indicating the average distance of all data points from their mean, highlighting the spread or variability within a dataset.

Macroeconomic Environments

The overall condition and economic factors at a large scale affecting an economy, including inflation, growth, employment, and policies.

Expected Expense

Expected expense is a forecasted cost anticipated to be incurred in the execution of a plan or operation.