If a Bank Expects Interest Rates to Consistently ____ Over

question 20

Multiple Choice

If a bank expects interest rates to consistently ____ over time, it will consider allocating most of its funds to rate-____ assets.

• A) decrease; sensitive
• B) increase; insensitive
• C) increase; sensitive
• D) answers A and B are correct
• E) none of the above

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Definitions:

Cash Refunds

Monetary reimbursements given to customers for the return of products, often as a return policy of retail businesses.

Run-On Sentence

A sentence in which two or more independent clauses are improperly joined without an appropriate conjunction or punctuation.

Independent Clauses

Sentences or clauses that can stand alone as a complete thought or idea because they have both a subject and a predicate.

Simple Sentence

A sentence consisting of only one independent clause, with a subject and a predicate, conveying a complete thought.