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Which of the Following Is an Effective Strategy in Times

Question 75

Multiple Choice

Which of the following is an effective strategy in times of falling interest rates?


A) Use long-term loans to take advantage of current low rates.
B) Use short-term loans to take advantage of lower rates when you refinance the loans.
C) Select short-term savings instruments to take advantage of higher rates when they mature.
D) Select short-term savings instruments to lock-in earnings at current high rates.
E) Select long-term savings instruments to lock-in earnings at current low rates.

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