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17-68 How Does Liability Management Affect Profitability

Question 62

Multiple Choice

17-68 How does liability management affect profitability?


A) By its impact on the interest rate sensitivity of assets.
B) By its impact on the interest rate sensitivity of liabilities.
C) By determining the default risk of investment securities.
D) By its impact on the cost of purchased funds.
E) By enhancing the liquidity of assets held.

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