Respuesta :

Losses in asset values due to adverse changes in interest rates are borne initially by the equity holders

Who are the equity holders?

Equity holders are individual that owns a particular asset that has liabilities attached to them

Equity is expressed as difference between liabilities and assets of a business.

Hence we can conclude that losses in asset values due to adverse changes in interest rates are borne initially by the equity holders

Learn more on equity holders here: https://brainly.com/question/25847981

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