The lowest rate of interest charged by banks for short-term loans to their most creditworthy customers is known as the:
A) all of these are appropriate references
B) reference rate
C) base lending rate
D) prime interest rate

Question

Quizplus · Accepted Answer

The terms "reference rate," "base lending rate," and "prime interest rate" all appropriately refer to the lowest rate of interest charged by banks for short-term loans to their most creditworthy customers.

The Lowest Rate of Interest Charged by Banks for Short-Term