How Does Reliance on Purchased Liquidity Rather Than Core Deposits

Multiple Choice

How does reliance on purchased liquidity rather than core deposits affect a bank?
I. Increases the risk of a liquidity crisis
II. Allows the bank to adjust to deposit drains without affecting bank size
III. Increases overall interest sensitivity of the bank's profits to interest rates

A) I only
B) II only
C) I and II only
D) II and III only
E) I,II,and III