Multiple Choice
A bank charges one borrower (A) 8 percent interest per year and another borrower (B) 10 percent interest per year. Which of the following is a plausible reason for the higher interest rate for B?
A) A is borrowing the money for a longer period than B.
B) A is borrowing a larger amount than B.
C) B is using the money for a less risky project than A.
D) B has a better credit rating than A.
Correct Answer:
Verified
Correct Answer:
Verified
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