Question: What is the difference between gap analysis and duration analysis? Gap analysis Duration analysis looks at the difference between the dollar value of a bank's

What is the difference between gap analysis and duration analysis?
Gap analysis
Duration analysis
looks at the difference between the dollar value of a bank's variable-rate assets and the dollar value of its variable-rate liabilities.
Gap analysis
Duration analysis
is an analysis of how sensitive a bank's capital is to changes in market interest rates.

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