9-67 Which of the Following Statements Is True

question 109

Multiple Choice

9-67 Which of the following statements is true?

• A)The optimal duration gap is zero.
• B)Duration gap measures the impact of changes in interest rates on the market value of equity.
• C)The shorter the maturity of the FI's securities,the greater the FI's interest rate risk exposure.
• D)The duration of all floating rate debt instruments is equal to the time to maturity.
• E)The duration of equity is equal to the duration of assets minus the duration of liabilities.

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Definitions:

Unethical Behavior

Actions that violate moral or professional norms, often at the expense of others' rights or well-being.

Negative Consequences

Undesirable outcomes or effects that result from an action or decision.

Transaction Communication Model

This model views communication as a process in which all parties simultaneously play the roles of sender and receiver, with the context, meaning, and effect of the messages being shaped by the interaction.

Personal Communication Problems

Issues or barriers that individuals face which hinder effective interpersonal communication, such as language differences, misunderstandings, or lack of confidence.