At the beginning of 2013,Joey planned to buy a new iPhone,LCD TV,and motorcycle by borrowing money.Joey already owes $25,000 on other loans.He also planned to buy new clothing and DVDs out of current income.An increase in interest rates,during 2013,will most likely
A) cause Joey to decide to borrow less money,but not change what he planned to spend on goods purchased with current income.
B) cause Joey to decide to borrow more money and to spend more on goods purchased with current income.
C) cause Joey to decide to borrow more money,but not change what he planned to spend on goods purchased with current income.
D) cause Joey to decide to borrow less money and to spend less on goods purchased with current income.
Correct Answer:
Verified
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