Bank has substantial amounts of short-term or variable interest for its liabilities, but its earning assets tend to be longer-term and less variable. Its economic position would deteriorate if interest rates _____ should reduce its exposure.

Select one:

a.

rise. A pay variable, receive fix swap

b.

rise. A pay fix, receive variable swap

c.

fall. A pay fix, receive variable swap

d.

fall. A pay variable, receive fix swap