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Which of the following statements is FALSE? A An F is short-funded when the maturity of its liabilities is less than the maturity of its

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Which of the following statements is FALSE? A An F is short-funded when the maturity of its liabilities is less than the maturity of its assets. B. Matching the maturities of assets and liabilities supports the asset transformation function of Fls. C. If an FI holds long-term assets funded by short-term liabilities when interest rates rise, the market value of assets will fall by a greater amount than the market value of its liabilities. D. Unanticipated withdrawals by liability holders are a major part of liquidity risk. E. Firm-specific credit risk can be reduced by diversification

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