menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Financial Institutions Management
  4. Exam
    Exam 7: Risks of Financial Institutions
  5. Question
    Which Term Refers to the Risk That Interest Income Will
Solved

Which Term Refers to the Risk That Interest Income Will

Question 1

Question 1

Multiple Choice

Which term refers to the risk that interest income will decrease as maturing assets are replaced with new, more current assets?


A) Credit risk.
B) Refinancing risk.
C) Reinvestment risk.
D) Liquidity risk.
E) Sovereign risk.

Correct Answer:

verifed

Verified

Related Questions

Q2: The relationship of a limited or fixed

Q3: An FI is exposed to reinvestment risk

Q4: Unanticipated withdrawals by liability holders are a

Q5: Credit risk stems from non-repayment or delays

Q6: Firm-specific credit risk can be reduced by

Q7: As commercial banks move from their traditional

Q8: Contingent claims are assets and liabilities that

Q9: What type of risk focuses upon future

Q10: A mortgage loan officer is found to

Q11: The risk that an investor will be

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines