Question: ( Circle the answer between the two choices - increase of decrease - and write the rate. ) Assuming that the average duration of its
Circle the answer between the two choices increase of decrease and write the rate. Assuming that the average duration of its assets is four years, while the average duration of its liabilities is seven years, then a percentage point decrease in interest rates will casse the profit of Firnt National Bank to increase decrease by percest of the total origienl asset value.
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