Which of the following is the risk involved with unanticipated changes in the return on assets and the cost of liabilities?
A)interest rate risk
B)default risk
C)credit risk
D)liquidity risk

Question

Quizplus · Accepted Answer

Unanticipated changes in the return on assets and the cost of liabilities can lead to interest rate risk. This type of risk refers to the possibility of changes in interest rates affecting the profitability, cash flows, or market value of financial instruments.

Which of the Following Is the Risk Involved with Unanticipated