Which of the following will cause a bank's 1-year cumulative GAP to decrease, everything else the same.
A) An increase in 3-month loans and an offsetting increase in 9-month loans.
B) A decrease in 6-month loans and an offsetting increase in 2-year CDs.
C) An increase in 9-month CD's and an offsetting increase in 5-year CDs.
D) a. and c.
E) b. and c.
Correct Answer:
Verified
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