Question

An interest rate is best interpreted as: A) a discount rate or a measure of risk. B) a measure of risk or a required rate of return. C) a required rate of return or the opportunity cost of consumption.

Answer 1

Answer:

C) a required rate of return or the opportunity cost of consumption.

Explanation:

The interest rate is the percentage of the total amount of money a lender charges to you for the use of his money.

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