IFRS and U.S. GAAP include the same four items in Other Comprehensive Income

When the assets and liabilities of an FI are not equal in size, efficient hedging of interest rate risk can be achieved by

A. increasing the duration of assets and increasing the duration of equity. B. issuing more equity and reducing the amount of borrowed funds. C. not exactly matching the maturities of assets and liabilities. D. issuing more equity and investing the funds in higher-yielding assets. E. efficient hedging cannot be achieved without the use of derivative securities.

Environmental factors can lead the business owner to evaluate and change his or her business

plans. An industry that recently underwent a major shift in marketing due to technological change and new competition, according to the textbook, is A) the oil industry. B) the automobile industry. C) the fast food industry. D) the convenience store industry. E) the cereal industry.