Question: Suppose that short-term interest rates decrease next year. Which of the following is the most likely impact on a commercial bank's income statement for next

Suppose that short-term interest rates decrease next year. Which of the following is the most likely impact on a commercial bank's income statement for next year?

4 options:

Larger interest income

Smaller interest expense

Larger interest income

Unchanged interest expense

Unchanged interest income

Smaller interest expense

Unchanged interest income

Unchanged interest expense

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