9-33 For given changes in interest rates,the change in the market value of net worth of an FI is equal to the difference between the changes in the market value of the assets and market value of the liabilities.

Question

Quizplus · Accepted Answer

This statement is true as the market value of net worth is the difference between the market value of assets and liabilities, therefore any changes in interest rates that affect the values of assets and liabilities will also affect the market value of net worth.

9-33 for Given Changes in Interest Rates,the Change in the Market