Multiple Choice
What interest rate should a banker charge for a loan if she expects that the inflation rate will average about 2.4% over the length of the loan, but wants she a 3% real rate of return?
A) 7) 2%
B) 5) 4%
C) 3) 0%
D) 2) 4%
E) 0) 6%
Correct Answer:
Verified
Correct Answer:
Verified
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