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A bank has many liquid short-term assets financed by long-term bonds. To protect the bank's net interest rate Income from falling, bank managers could Lenter

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A bank has many liquid short-term assets financed by long-term bonds. To protect the bank's net interest rate Income from falling, bank managers could Lenter into a wap to pay a fixed rate and receive a variable rate. Il enter into a swap to pay a variable rate and receive a fixed rate, III . Buy call options on Treasury bonds IV. Sell Treasury bonds futures. I and IV oll only olland ill only OLII and IV

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