SB - Mortages

[GmatKiss]

Since savings banks have to use short-term deposits to finance long-term fixed-rate mortgage loans, they sometimes lose money when there is a rise in short-term rates and, on the other hand, they are unable to raise the rates on their mortgages.

(A) when there is a rise in short-term rates and, on the other hand, they are unable to raise
(B) when short-term rates rise and they are unable to raise
(C) when a rise in short-term rates occurs and, correspondingly, there is no rise possible in
(D) with a rise in short-term rates, and they are unable to raise
(E) with short-term rates on the rise and no rise possible in

OA after sometime!

[gmatblood]

Since savings banks have to use short-term deposits to finance long-term fixed-rate mortgage loans, they sometimes lose money when there is a rise in short-term rates and, on the other hand, they are unable to raise the rates on their mortgages.

(A) when there is a rise in short-term rates and, on the other hand, they are unable to raise
(B) when short-term rates rise and they are unable to raise
(C) when a rise in short-term rates occurs and, correspondingly, there is no rise possible in
(D) with a rise in short-term rates, and they are unable to raise
(E) with short-term rates on the rise and no rise possible in

OA after sometime!

IMO:D

[mhananoki]

I think B is the best answer because it is concise and doesn't change the meaning of the sentence.

[gunjan1208]

C seems the best. However,I am clueless and just trying to make an educated guess. Any Titan, expert please!

[mithra.aravind]

E sounds odd.. In A, B and D.. usage of 'they' is ambiguous.. Hence, IMO C

[Acorn]

In my opinion B.

Mithra.aravind= E sounds odd.. In A, B and D.. usage of 'they' is ambiguous.. Hence, IMO C

In B 'They' is mentioned in the non-underlined portion of the sentence. So the use of "they" in the underlined portion clearly refers to the antecedant.

GmatKiss...OA please

[Deepthi Subbu]

+ 1 for B . GmatKiss ,request you to post the OA.

[ace.gmat]

IMO B. "They" logically can only refer to Banks.

[GmatKiss]

OA is B