Question
If a firms assets have a duration of 5 years and its liabilities have a duration of 3 years, then if interest rates decrease A.
If a firms assets have a duration of 5 years and its liabilities have a duration of 3 years, then if interest rates decrease
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A. the value of the assets will increase
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B. the value of the liabilities will decrease
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C. the net worth will decrease
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D. a and b
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E. a, b and c
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Personal Finance
Authors: Jeff Madura
6th Edition
0134082915, 9780134082912
