Question

how to calculate cumulative repricing gap

Answer 1

Repeicing gap is the difference between the assets and liabilities whose interest rates will change over a period of time.

The cumulative repricing gap is the sum of all the changes in betwee the rate sensitive assets and the rate sensitive liabilities.

The calculation can be done by first finding out the changes in the value of the asset and liability based on the change in interest rate. The repricing gap is thus identified. The sum of these gaps will be the cumulative repricing gap.