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Q U E 5 TI 0 N 3 4 A bank currently has a POSITIVE income gap. The bank manager is concerned about INTEREST INCOME

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Q U E 5 TI 0 N 3 4 A bank currently has a POSITIVE income gap. The bank manager is concerned about INTEREST INCOME and expects interest rates to RISE. The appropriate strategy is to rate-sensitive assets and rate-sensitive liabilities. r increase; increase r decrease; increase P - r increase: decrease r None of the above

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