-What Is This FI's Maturity Gap?
A)4

question 62

Multiple Choice

$$\begin{array} { | l | r | l | l | r | l | } \hline \text { Assets } & \begin{array} { l } \text { Amount } \\\text { (\$ millions) }\end{array} & \begin{array} { l } \text { Annual } \\\text { Rate }\end{array} & \text { Liabilities } & \begin{array} { l } \text { Amount } \\\text { (\$ millions) }\end{array} & \begin{array} { l } \text { Annual } \\\text { Rate }\end{array} \\\hline \text { 1-year bonds } & \$ 60 & 7 \% & \text { 1-year CD } & \$ 50 & 5 \% \\\hline \text { 10-year loan } & \$ 40 & 12 \% & \text { 2-year CD } & \$ 40 & 6 \% \\\hline & & & \text { Equity } & \$ 10 & \\\hline \text { Total } & \$ 100 & & \text { Total } & \$ 100 & \\\hline\end{array}$$
-What is this FI's maturity gap?

• A)4.00 years.
• B)4.28 years.
• C)3.16 years.
• D)4.06 years.
• E)5.10 years.

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Definitions:

African Americans

African Americans are a cultural and ethnic group in the United States, known for their rich heritage and significant contributions to the nation's history and culture, originating from African ancestral roots.

Jeffersonian Republicans

A political party founded in the 1790s that advocated for a decentralized government and agricultural economy, emphasizing states' rights.

Federalists

Supporters of a strong federal government and the ratification of the United States Constitution in the late 18th century.

Whigs

A political party active in the 19th century in the United States, which advocated for federal government support for economic development and opposed Andrew Jackson's policies.