10. The loan loss provision should increase during periods when loan losses are more IRely such as during a recessionary period. a. True b. False 11. The value of a commercial bank can be modeled as the present value of its future cash flows. a. True b. False 12. When a corporation first decides to issue stock to the public, it engages in a(n) a. secondary offering. b. initial public offering. c. seasoned equity offering. d. None of the above