Which of the Following Is NOT an External Method of Interest

question 68

Multiple Choice

Which of the following is NOT an external method of interest rate risk management?

• A) Using an interest rate swap
• B) Using financial futures
• C) Using an off-balance-sheet strategy, such as a forward rate agreement
• D) Having fixed-interest assets financed by fixed-interest liabilities and equity

---

Definitions:

Bronfenbrenner

A psychologist known for his ecological systems theory, which considers the complex interrelations between individual development and environmental factors.

Microsystem

A part of the ecological systems theory that refers to the immediate environment in which an individual interacts, such as family, school, peers, and workplace.

Bronfenbrenner

Urie Bronfenbrenner, a developmental psychologist renowned for the Ecological Systems Theory, which explains how the inherent qualities of a child and the characteristics of the external environment interact to influence how the child grows and develops.

Ecological-Systems Model

A framework identifying the various environmental layers that influence an individual's development, from immediate surroundings to broader societal contexts.