20-78 Losses in Asset Values Due to Adverse Changes in Interest

question 56

Multiple Choice

20-78 Losses in asset values due to adverse changes in interest rates are borne initially by the

• A)equity holders of an FI.
• B)liability holders of an FI.
• C)regulatory authorities.
• D)taxpayers.
• E)insured depositors.

---

Definitions:

Itemized List

A detailed list where individual items or elements are separately presented and often described or quantified.

Diplomatic Way

A strategy or method that involves handling situations in a sensitive, tactful, and effective manner, often to maintain good relationships and avoid conflict.

Payment

The transfer of money or goods in exchange for a product or service.

Charge

In a physical context, it refers to an object having an excess or deficiency of electrons, resulting in a positive or negative electrical state.