Question: To increase its return, a bank that expects interest rates to fall wil

Question

Question:

To increase its return, a bank that expects interest rates to fall will:

A:Want the duration of its assets to be greater than the duration of its liabilities - a positive duration gap.

B:

Want the duration of its assets to be less than the duration of its liabilities - a positive duration gap.

C:Want the duration of its assets to be greater than the duration of its liabilities - a negative duration gap.

D:

Want the duration of its assets to be less than the duration of its liabilities - a negative duration gap.

A:Want the duration of its assets to be greater than the duration of its liabilities - a positive duration gap.

B:

Want the duration of its assets to be less than the duration of its liabilities - a positive duration gap.

C:Want the duration of its assets to be greater than the duration of its liabilities - a negative duration gap.

D:

Want the duration of its assets to be less than the duration of its liabilities - a negative duration gap.

Explanation / Answer

want the duration of its assets to be greater than the duration of its liabilities' positive duration gap

correct answer---100% sure

PLEASE RATE MY ANSWER WITH 5 STARS

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.