Refer to the Following Graph to Answer the Following Questions

question 92

Multiple Choice

Refer to the following graph to answer the following questions:
-In the figure,at an interest rate of 5 percent,the

• A) quantity demanded of loanable funds equals the quantity supplied of loanable funds,and equilibrium is reached.
• B) quantity demanded of loanable funds is greater than the quantity supplied of loanable funds,and there is a surplus of loanable funds.
• C) demand for loanable funds is greater than the supply of loanable funds,and there is a shortage of loanable funds.
• D) quantity demanded of loanable funds is greater than the quantity supplied of loanable funds,and there is a shortage of loanable funds.
• E) quantity demanded of loanable funds is less than the quantity supplied of loanable funds,and there is a surplus of loanable funds.

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Definitions:

Monetary Items

Assets and liabilities that are to be received or paid in a fixed or determinable amount of money.

Functional Currency

The main currency used by a business or economy, reflecting the primary economic environment in which it operates.

Shareholders' Equity

The residual interest in the assets of an entity that remains after deducting its liabilities, representing ownership value in the company.

Presentation Currency

The currency in which the financial statements of an entity are presented.