The duration gap is calculated by subtracting the duration of the liabilities from the duration of the activity of the financial entities. Thus, in this case, the net worth of 1.8 percent of its assets.
<h3>What do you mean by Duration Gap?</h3>
Duration Gap refers to the term used by funds, banks, pensions, or many financial institutions to estimate the risk because of changed interest rates.
Also, if we have a negative duration gap means that the market value of equity will increase when interest rates rise.
Thus, in this case, If interest rates increase from 9 percent to 10 percent, a bank with a duration gap of 2 years would experience a decrease in its net worth of 1.8 percent of its assets.
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Answer:
Operating Leasing
Explanation:
Legal title is retained by the seller, buyer enjoys equitable title (during the lease contract duration) of the property (e. g. using land, leased buildings or machinery for the business needs),
Answer:
Un instructor es un profesional cuya tarea es la de, como su nombre lo indica, instruir a otras personas respecto de la realización de una actividad, arte o tarea determinada.
Así, por ejemplo, existen instructores de diversas actividades, como vuelo, buceo, entrenamiento personal, etc., los cuales enseñan a las personas a realizar su actividad, supervisando su performance y corrigiendo sus errores, para formar así personas idóneas en el arte o actividad que el instructor domina.
<span>income that investors earn from buying and selling investments
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Answer:
The correct answer is option c.
Explanation:
The only kind of market structure where the price is set by market forces and not the firms is pure competition. The firms in other market structures such as oligopoly, monopoly and monopolistic competition are price setters.
The market for wheat is a pure competition as there is a large number of sellers who are producing identical products. The firms are price takers and the price is determined by market forces.
