When a Bank's Borrowing Rate Goes Up,which of the Following

question 13

Multiple Choice

When a bank's borrowing rate goes up,which of the following is true

• A) DVA increases so that the bank's profit goes down
• B) DVA increases so that the bank's profit goes up
• C) DVA declines so that the bank's profit goes down
• D) DVA declines so that the bank's profit goes up

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Definitions:

U-5 Unemployment Rate

A measure of unemployment that includes those who are not working, available to work, and have looked for work within the past 12 months, plus marginally attached workers and those employed part-time for economic reasons.

Unemployment Insurance

A form of government assistance that offers income support to individuals who are unemployed through no fault of their own and meet specific eligibility requirements.

Labor Force Participation Rate

a measure of the active portion of an economy's labor force, calculated as the labor force divided by the total working-age population, expressed as a percentage.

Unemployment

The situation where individuals who are capable and willing to work cannot find employment.