Question: Which of the following could result in a decrease in net interest income for a bank? I. Interest rates increase II. Interest rates decrease III.

Which of the following could result in a decrease in net interest income for a bank?

I. Interest rates increase

II. Interest rates decrease

III. An increase in the loan default rate

IV. A decrease in the loan default rate

Question options:

I only

II only

I and IV only

III only

IV only

II and IV only

None of the combinations listed above are correct.

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