Because Credit Unions' Sources and Uses of Funds Are Generally

question 32

Multiple Choice

Because credit unions' sources and uses of funds are generally interest rate ____, movements in interest revenues and interest expenses of credit unions are ____.

• A)sensitive; negatively correlated
• B)insensitive; highly correlated
• C)sensitive; uncorrelated
• D)sensitive; highly correlated
• E)insensitive; uncorrelated

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Definitions:

Stock Split

A corporate action that increases the number of a corporation's outstanding shares by dividing each share, which may lower the share price.

Par Value

The nominal or face value of a stock or bond, as stated in the corporate charter or on the certificate.

Stock Dividend

Stock Dividend involves distributing additional shares of a company's stock to its shareholders as a form of dividend.

Par Value

The face value of a bond or a stock as stated by the issuing company, which may not reflect the current market value.