Which of the Following Is an Interest Rate That Is

question 110

Multiple Choice

Which of the following is an interest rate that is set directly by the Fed?

• A) the prime lending rate
• B) the required reserve rate
• C) the discount rate
• D) the federal funds rate

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Definitions:

Standard Deviation

A statistical measure of the dispersion or variability in a set of data, often used in finance to quantify the risk associated with a security or investment portfolio.

Coefficient Of Variation

A standardized measure of the dispersion of a probability distribution or frequency distribution, used to assess risk relative to expected returns.

Beta

Beta is a measure of a stock's volatility in relation to the overall market, indicating its risk relative to the market average.

Required Return

The smallest annual return percentage required to motivate persons or firms to allocate funds into a certain security or initiative.