An asset would normally be classified as rate-sensitive if:
A) it matures during the examined time period.
B) it represents a partial principal payment.
C) the outstanding principal on a loan can be re-priced when the base rate changes.
D) All of the above.
E) a. and c. only
Correct Answer:
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Q14: If rate-sensitive assets equal $500 million and
Q15: Put the following steps for conducting a
Q16: If rate-sensitive assets equal $500 million and
Q17: If a bank has a positive GAP,
Q18: If rate-sensitive assets equal $600 million and
Q20: A bank's GAP is defined as:
A) the
Q21: A shift from core deposits to non-core
Q22: Earnings-at-risk:
A) considers only interest rate "shocks."
B) is
Q23: Static GAP analysis focuses on the market
Q24: Static GAP analysis focuses on managing net
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