An FI's Balance Sheet Is Characterized by Long-Term Fixed-Rate Assets

question 32

Multiple Choice

An FI's balance sheet is characterized by long-term fixed-rate assets funded by short-term variable-rate securities. Most likely the bank has a

• A)positive repricing gap and a positive duration gap.
• B)positive repricing gap and a negative duration gap.
• C)negative repricing gap and a positive duration gap.
• D)negative repricing gap and a negative duration gap.
• E)None of the options are correct.

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Definitions:

News Center

A dedicated platform or department within an organization that focuses on the gathering, processing, and dissemination of news.

Crisis

A time of intense difficulty, trouble, or danger, often requiring immediate action or decision-making.

Contact Information

Details provided to facilitate communication, such as phone numbers, email addresses, and physical addresses.

Termination Messages

Communications designed to inform an employee that their employment is being ended, typically including details on the reasons and any next steps.