Solved

If Interest Rates Increase 75 Basis Points for an FI

Question 105

Multiple Choice

If interest rates increase 75 basis points for an FI that has a gap of -$15 million, the expected change in net interest income is

A) -$112,500.
B) +$112,500.
C) +$1,125,0000.
D) -$1,125,0000.
E) -$150,000.

Related Questions

Q100: Which of the following indicates a positive

Q101: What is the change in the value

Q102: Suppose that interest rates rise by 2

Q103: What is the weighted average maturity of

Q104: Because the repricing model ignores the market

Q106: Similar to the repricing gap model, duration

Q107: The repricing model estimates the difference between

Q108: Use the repricing model to determine the

Q109: Use the repricing model to determine the

Q110: Of the following institutions, which will be