____ Risk Prevents an Interest Rate Swap from Completely Eliminating

question 21

Multiple Choice

____ risk prevents an interest rate swap from completely eliminating a financial institution's exposure to interest rate risk.

• A)Credit
• B)Basis
• C)Sovereign
• D)None of these are correct.

---

Definitions:

Word of Praise

An expression or utterance of approval, commendation, or admiration.

Latent Learning

Learning that occurs without overt reinforcement or manifestations but can be demonstrated when a suitable motivation is provided.

Productivity Increase

An improvement in the efficiency of production, often measured by the output per unit of labor or resources.

Profit-Sharing Plan

A company program that gives employees a share in the profits of the company.