13-20 Interest Rate Risk Is Part of the Loan Commitment

question 46

True/False

13-20 Interest rate risk is part of the loan commitment contingent risk because of the uncertainty of changes in interest rates before the borrower exercises his option to borrow.

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Definitions:

Flat Organizational Structure

A type of organizational configuration that has few or no levels of middle management between staff and executives, promoting faster decision-making and communication.

Customer Departmentalization

The arrangement of jobs around the needs of various types of customers.