Which of the following statements is False?

Select one:

@ a

All of the other statements are false.

O

The modified duration of a zero-coupon bond does not depend on the market interest rate.

C.

When a financial institution has only positive CAPs and a zero CAP in the last maturity bucket, it indicates that the assets reprice

earlier than the liabilities on average.

d. In the first repricing bucket, the GAP is always equal to the CGAP.

An decrease In the spread between the asset rate and the liability rate leads to a decrease in the net interest income.