You notice that the interest rate on your credit card is set at LIBOR plus 8.9%. Given this, the rate you will pay is primarily influenced by the money market rates in which one of the following?
A)Lisbon, Portugal
B)New York, USA
C)Frankfort, Germany
D)London, England
E)Chicago, USA

Question

Quizplus · Accepted Answer

LIBOR stands for London Interbank Offered Rate, so money market rates in London, England will primarily influence the rate for a credit card with a LIBOR plus 8.9% interest rate.

You Notice That the Interest Rate on Your Credit Card