Use the Following Table to Answer the Question

question 55

Multiple Choice

Use the following table to answer the question :

-If interest rates rise by 5 percentage points,say from 10 to 15%,bank profits (measured using gap analysis) will

• A)decline by $0.5 million.
• B)decline by $1.5 million.
• C)decline by $2.5 million.
• D)increase by $2.0 million.

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Definitions:

General Adaptation Syndrome

A three-stage response (alarm, resistance, exhaustion) that the body goes through when exposed to prolonged stress, described by Hans Selye.

Alarm Phase

The initial reaction of the body's stress response, involving the activation of the sympathetic nervous system.

Chronic Stress

is a condition of continued and persistent stress over an extended period, which can have detrimental effects on one's health and well-being.

Psychoneuroimmunologists

Scientists who study the interactions between the nervous system, psychology, and the immune system, particularly how stress and behavior impact health.