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(a) The cost of borrowing money.(b) The price of one currency expressed in terms of another.(c) The level of unemployment that is normally apparent in an economy as some people are in between jobs or searching for a new one.(d) The setting of the exchange rate by the forces of the market for currency.
INTEREST IS THE REWARD FOR USE OF MONEY PAYABLE TO THE LENDER.
(a) The cost of borrowing money
The correct answer is :
(a) The cost of borrowing money
Agreed with all. The closet answer is Option A.
Other options help in determining the rate of interest to be applied on borrowing money.
(a) The cost of borrowing money should be the right answer.......................
(a) The cost of borrowing money.
1. It is defined as the proportion of an amount loaned which a lender charges as interest to the borrower, normally expressed as an annual percentage.
2. It is the rate a bank or other lender charges to borrow its money,
3. The rate a bank pays its savers for keeping money in an account.
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