Suppose That at the End of a Given Year There

question 81

Multiple Choice

Suppose that at the end of a given year there has been unanticipated inflation of 4%.Who is better off at the end of the year?

• A)a bank that lent money at the beginning of the year
• B)a bank that lent money at the end of the year
• C)a consumer who borrowed money at the beginning of the year
• D)a consumer who borrowed money at the end of the year
• E)a consumer who lent money at the end of the year

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Definitions:

Numeric Age

Geologic age of a rock, sediment, fossil, or event calculated in thousands, millions, or billions of years before present; synonym: absolute age.

Actual Age

The precise age or date of an object or event, usually determined through radiometric dating or other scientific methods.

Changed

Altered or modified from an original state or condition.

Time Required

The duration needed to complete a process or reach a specific outcome.