The interest rate at which the Bank of Canada lends to CPA members is called:
A)the prime rate
B)the short-term rate
C)the long-term rate
D)the government bond rate
E)the bank rate

Question

Quizplus · Accepted Answer

The interest rate at which the Bank of Canada lends to CPA members is called the bank rate. This is the rate used by the Bank of Canada to influence economic activity and control inflation. The bank rate can affect various borrowing rates, including the prime rate and short-term and long-term rates.

The Interest Rate at Which the Bank of Canada Lends