The Interest Earned on Loans to State and Local Governments

question 86

Multiple Choice

The interest earned on loans to state and local governments is a lower interest rate than otherwise similar borrowers pay because _____

• A)lenders focus on their after-tax rate of interest.
• B)lenders focus on their before-tax rate of interest.
• C)borrowers focus on their after-tax rate of interest.
• D)borrowers focus on their before-tax rate of interest.
• E)lenders and borrowers pay high taxes.

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Definitions:

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Future Acts

Refers to actions or events that are expected or planned to happen in the future.

Accountability

The obligation of an individual or organization to account for its activities, accept responsibility for them, and disclose the results in a transparent manner.

Power And Control

The motivation behind certain abusive behaviors, where the abuser seeks to dominate and restrict the freedom of their victim.