. for example , changes in the slope of the yield curve because the firm has the ability to lend at long-term fixed rates and borrow at variable or short-term fixed rates . based upon these scenarios , the firm 2019s earnings would be affected negatively by a sudden and unanticipated increase in short-term rates paid on its liabilities ( e.g. , deposits ) without a corresponding increase in long-term rates received on its assets ( e.g. , loans )