Assuming that the average duration of its assets is four years, while the average duration of its liabilities is three years, then a 5 percentage point increase in interest rates will cause the net worth of First National to ________ by ________ of
the total original asset value. A) decline; 5 percent
B) decline; 10 percent
C) decline; 15 percent
D) increase; 20 percent
A
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Consolidation activity in the hospital industry
a. has slowed due to government regulations. b. has created a large number of nationwide for-profit hospital chains. c. has occurred almost exclusively at the local level. d. occurs for same reasons that cause consolidation in other industries.
Identify the approach used by the Environmental Protection Agency (EPA) to enforce environmental standards
a. pollution taxes b. least-cost method c. compliance standards d. pollution rights
Historical note: All of the following were examples in the text of goods that had been patented except
a. penicillin b. tabs on beer and soda cans c. Polaroid's instant film camera d. watercolor paint e. Xerox's photocopier
We can find the market demand for pears by:
A. adding all the prices people are willing to pay for pears. B. multiplying the number of people times the price of pears. C. adding the number of pears that producers are willing to sell. D. adding the individual demand curves for pears.