Administrative Agencies Are Generally Created By

question 228

Multiple Choice

Administrative agencies are generally created by:

• A) a Supreme Court order
• B) federal courts to help in areas difficult to regulate by litigation
• C) executive orders of the President
• D) a Supreme Court order or an executive order of the President
• E) none of the other choices

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Definitions:

Nominal Rate

The stated interest rate of a financial instrument, not accounting for inflation or compounding effects.

Effective Rate

The actual interest rate on a loan or investment, taking into account the effects of compounding and other factors.

Face Rate

The interest rate stated on the face of a bond or a loan document, which determines the interest payments that the issuer will make.

Contract Rate

This refers to the interest rate stated in a contract that determines the amount of interest owed on a loan or financial agreement.