The risk premium you receive as a saver is based in part on:
A)your credit rating.
B)the amount of money you are borrowing.
C)the uncertainty associated with getting your money back.
D)the expected rate of inflation.
E)C & D abovE.

Question

Quizplus · Accepted Answer

The risk premium that savers receive is based on two main factors: the uncertainty associated with getting their money back (which is related to credit risk) and the expected rate of inflation. Therefore, option E, which combines options C and D, is the best answer.

The Risk Premium You Receive as a Saver Is Based