Multiple Choice
If a decline in interest rates causes the market value of a bank's net worth to rise,then the bank must have a ________.
A) negative duration gap
B) positive duration gap
C) negative gap
D) positive gap
Correct Answer:

Verified
Correct Answer:
Verified
Q7: When a lender refuses to make a
Q8: Table 23.1<br>First National Bank<br> <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2777/.jpg" alt="Table
Q9: What is gap analysis and why is
Q10: If interest rates rise by 5 percentage
Q11: Duration analysis involves comparing the average duration
Q13: If a bank has more rate-sensitive liabilities
Q14: Credit rationing occurs when lenders charge higher
Q15: Measuring the sensitivity of bank profits to
Q16: Of the following methods that banks might
Q17: Explain how banks benefit from specialization in