Question: estion 14 All else the same, a positive duration gap causes the liquidity of the bank to: t yet swered a. change only when the

 estion 14 All else the same, a positive duration gap causes

estion 14 All else the same, a positive duration gap causes the liquidity of the bank to: t yet swered a. change only when the level of interest rates is low rked out of 0 b. increase Flag estion c. decrease d. change only when the level of interest rates is high estion 15 bt yet swered A bond is selling in the market for $950 and has a duration of 6 years. Market interest rates are 9 percent and are expected to decrease to 7 percent in the near future. What will this bond's price be after the change in market interest rates? arked out of DO Flag Luestion a. $854 b. $931 c. $969 d. $1,055 Cuestion 16 ot yet If a bank has a negative dollar gap and is short in T-bill futures, if interest rates fall, the in the net interest margin of the bank will be in the T-bill futures. nswered Marked out of 1.00 Flag a. losses/worsened by losses b.gains/offset by loses cuestion c. losses/offset by gains

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