Which of the Following Statements Best Describes Interest Rates

Multiple Choice

Which of the following statements best describes interest rates?

A) The cost of money to fund users is basically determined by the rate of return required by fund providers.
B) If individuals in general increase the percentage of their income that they save, interest rates are likely to increase.
C) If companies have fewer good investment opportunities, interest rates are likely to increase.
D) If expected inflation increases, interest rates are likely to decrease.