What is the impact over the next 30 days on the dealer's net interest income if all interest rates increase by 50 basis points?
A)Net interest income will decrease by $50,000.
B)Net interest income will decrease by $2.125 million.
C)Net interest income will decrease by $475,000.
D)Net interest income will decrease by $2.375 million.

Question

Quizplus · Accepted Answer

An increase in interest rates typically leads to a decrease in net interest income for dealers due to higher borrowing costs, and the given choice indicates a significant decrease.

What Is the Impact Over the Next 30 Days on the Dealer's