Which of the following will cause a bank's 1-year cumulative GAP to increase, everything else the same.
A) An increase in 3-month loans and an offsetting decrease in 6-month loans.
B) An increase in 3-month loans and an offsetting increase in 3-month CDs.
C) A decrease in 3-month CD's and an offsetting increase in 3-year CDs.
D) a.and c.
E) b.and c.
Correct Answer:
Verified
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