All Else the Same,if a Bank's Liabilities Are More Sensitive

question 60

Multiple Choice

All else the same,if a bank's liabilities are more sensitive to interest rate fluctuations than are its assets,then ________ in interest rates will ________ bank profits.

• A)an increase;increase
• B)an increase;reduce
• C)a decline;reduce
• D)a decline;not affect

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Definitions:

Hepatomegaly

An enlargement of the liver beyond its normal size, which can be a sign of various diseases or conditions.

Enlarged Liver

A condition where the liver is larger than normal, often indicating liver disease or inflammation.

Distended Bowel

A condition where the bowel becomes enlarged or swollen due to excess gas, fluid, or other substances.

Hyperthyroidism

a condition characterized by the overproduction of thyroid hormones by the thyroid gland, leading to various systemic symptoms.