The maturity structure of the assets of regional commercial banks tends to be shorter than the maturity structure of liabilities.

Please use the following additional information for Questions 42-43: First Duration, a securities dealer, has a leverage-adjusted duration gap of 1.21 years, $60 million in assets, 7 percent equity to assets ratio, and market rates are 8 percent. Question: What is the impact on the dealer’s market value of equity if the change in all interest rates is an increase of 0.5 percent?

Moral hazard encourages the FI to take less, rather than more, risk. 

If the average maturity of assets is 5 years and the average maturity of liabilities is 7 years, then the FI has no interest rate risk exposure. 

Duration is the weighted-average present value of the cash flows using the timing of the cash flows as weights.

Please use the following additional information for Questions 38-41: A financial institution originates a pool of 500 30-year mortgages, each averaging $150,000 with an annual mortgage coupon rate of 8 percent. Assume that the entire mortgage portfolio is securitized to be sold as GNMA pass-throughs. The GNMA credit risk insurance fee is 6 basis points and that the FI’s servicing fee is 19 basis points. Question: What is the present value of the mortgage pool? 

Which of the following is not an expansionary monetary policy?

Which statement by a client indicates understanding of fall prevention teaching?

The nurse is providing perineal care to a female client. The correct technique is to:

The nurse is caring for a client with difficulty breathing. What is the priority nursing action?