Question: Question 18 5 Points A bank's incremental GAP: is defined as the dollar amount of rate-sensitive assets divided by the dollar amount of rate-sensitive liabilities.

 Question 18 5 Points A bank's incremental GAP: is defined as

Question 18 5 Points A bank's incremental GAP: is defined as the dollar amount of rate-sensitive assets divided by the dollar amount of rate-sensitive liabilities. B is defined as the dollar amount of earning assets divided by the dollar amount of total liabilities. compares rate-sensitive assets with rate-sensitive liabilities across all time buckets. D compares rate-sensitive assets with rate-sensitive liabilities across a single time bucket. E compares the dollar amount of earning assets times the average liability interest rate. Question 19 5 Points The risk that incurred by an Fl as a result of activities related to its contingent assets and liabilities held off the balance sheet is referred to as Off-balance-sheet risk. B Firm-specific credit risk. C Refinancing risk. D Liquidity risk. E Sovereign risk

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