A major problem with the use of duration in interest rate risk management is that it assumes:
　　A. differential sensitivity of assets and liabilities to changes in interest rates.
　　B. a nonlinear relationship between prices and rates.
　　C. only a single change in interest rates over the planning horizon.
　　D. an inverse relationship between prices and rates.
　　Answer:C
　　Duration assumes only a single and parallel shift in interest rates over the interest rate management planning horizon.