Increase in market interest rates

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In the basic "repricing gap" model, an increase in market interest rates would:

a. increase the net interest income of a bank with a positive1-year gap.

b. increase the market value of bank assets.

c. lower the book value of stockholders' equity of a bank with a negative1-year gap.

d. lower the net interest income of a bank with a negative1-year gap.

Reference no: EM133113586

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