Question

The average maturity of the liabilities of an FI's balance sheet is equal to

A. the weighted-average of the liabilities where the weights are determined relative to the total liabilities and equity of the FI.

B. the weighted-average of the liabilities where the weights are determined relative to the total liabilities of the FI.

C. the weighted-average of the liabilities where the weights are determined relative to the total assets of the FI.

D. the weighted-average of the liabilities where the weights are determined using market values of liabilities.

E. None of the above.

Answer

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