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Which Is True of the Cost of Funds Index (COFI)

Question 2

Multiple Choice

Which is true of the cost of funds index (COFI) ?


A) It represents the weighted-average cost of savings, borrowings, and advances of the financial institutions such as banks and savings & loans in the 11th District of the Federal Home Loan Bank
B) It is one of the indexes used to determine interest rate changes for certain government fixed rate mortgages
C) It is an index used to determine interest rate changes for certain adjustable-rate mortgages
D) Both A and C

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