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Which of the Following Statements Is True

Question 46

Multiple Choice

Which of the following statements is true?


A) Ceteris paribus, the longer the term of a loan, the lower the interest rate.
B) The nominal interest rate is the interest rate adjusted for expected inflation.
C) Loans that cost more to process and administer will come with higher interest rates than loans that cost less to process.
D) a and b
E) none of the above

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