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1.) One technique of liability management is increasing xed assets (1 a. / collateral requirements. if b. .___/. purchasing securities. (1 c. /

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1.)

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One technique of liability management is increasing xed assets (\"\"1 a. \\ / collateral requirements. if\" b. .\\___/. purchasing securities. (\"\"1 c. \\ / holding excess reserves. if\" d. .\\___/. savings clubs. (\"\"1 e. \\ / Suppose that ThirdBank has $500 billion in rate-sensitive assets and $400 billion in rate-sensitive liabilities. If interest rates fall by 5%, then bank profits increase by $5 billion. C! a. liabilities decline by $5 billion. 0 b. bank profits decline by $5 billion. 0 c. there is no change in bank profits. 0 d. n the value of assets rises by $5 billion. -\\ x e

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