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Static GAP analysis is a tool used by banks and financial institutions to assess their interest rate risk. The purpose of this analysis is to measure the difference between rate-sensitive assets and rate-sensitive liabilities over a specific time frame.

The reason that the cumulative impact of interest rate changes is not considered a disadvantage of static GAP analysis lies in the nature of static versus dynamic assessments. Static GAP focuses on a snapshot in time, allowing institutions to evaluate their current position without incorporating future interest rate changes or changes in the environment that could impact rates over the long term. While this might seem limiting, it can provide clarity on the immediate exposure to interest rate shifts based on existing contracts.

In contrast, the other options highlight genuine limitations inherent in static GAP analysis. It does indeed depend on accurately forecasting interest rates, which can be unpredictable and contribute to the analysis's sensitivity. Additionally, treating demand deposits as non-rate sensitive overlooks the fact that these deposits may react to interest rate changes, undermining the accuracy of the interest rate risk assessment.

Thus, while static GAP analysis has its drawbacks, not considering the cumulative impact of interest rate changes is not one of them—it reflects the method's intended use as a straightforward snapshot rather than a more dynamic evaluation.