22-124 If in One Year There Is No Change in Either

question 14

Multiple Choice

22-124 If in one year there is no change in either interest rates or exchange rates,what is the end-of-year profit or loss of your bank's cash position? Assume that annual interest is paid on both the CD and the Canadian bonds on the date of liquidation in exactly one year.

• A)Profit of US$20,000.
• B)Loss of C$224,000
• C)Profit of US$50,000.
• D)Profit of C$63,000.
• E)Profit of US$313,000.

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Definitions:

Vitamin C Deficiency

A condition caused by insufficient vitamin C intake, leading to symptoms such as fatigue, gum inflammation, and skin issues.

Spongy Gingiva

A condition where the gums are soft, swollen, and may bleed easily, often a sign of gum disease or infection.

Cheilosis

A condition characterized by the cracking and inflammation of the lips, often due to vitamin B deficiency or fungal infection.

Gag Reflex

A reflex contraction of the back of the throat, evoked by touching the soft palate, designed to prevent choking and aspiration of foreign objects.