If Interest Rates Decrease 40 Basis Points (0

question 34

Multiple Choice

If interest rates decrease 40 basis points (0.40 percent) for an FI that has a cumulative gap of -$25 million,the expected change in net interest income is

• A)+$100,000.
• B)-$100,000.
• C)-$625,000.
• D)-$250,000.

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Definitions:

Conditional Positive Regard

A concept where acceptance and love from others depend on fulfilling certain conditions or expectations, as opposed to unconditional positive regard.

Genuineness

The quality of being authentic, sincere, and open in one's expressions or actions.

Empathic Understanding

The ability to accurately understand and share the feelings of another person.

Disengaged Family

A family dynamic characterized by emotional disconnection between members, where individuals maintain considerable distance from each other emotionally and physically.