Multiple Choice
Which of the following statements is true?
A) A negative gap indicates that a rise in interest rates would increase the bank's net interest income.
B) A positive gap indicates that a rise in interest rates would increase the bank's net interest income.
C) A positive gap indicates that a fall in interest rates would increase the bank's net interest income.
D) None of the listed options are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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