Which of the Following Is Most Accurate About Interest Rates

question 29

Multiple Choice

Which of the following is most accurate about interest rates in Canada?

• A)Charging a rate of 3 percent for a seven day payday loan is legal in Canada.
• B)As long as loan charges come in the form of fees, they are not included in interest rate calculations.
• C)Payday loan companies provide a necessary service and have permission to charge above the maximum loan rate in Canada.
• D)The maximum interest rate that can be charged on a consumer loan in Canada is 60 percent.

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Definitions:

Stained Cells

Cells that have been treated with specific dyes to highlight particular components under a microscope.

Posterior Lobe

The back part of an organ or gland, such as the posterior lobe of the pituitary gland in the brain.

Homeostasis

The process by which living organisms regulate their internal environment to maintain stable, life-supporting conditions.

Pars Intermedia

The intermediate lobe of the pituitary gland, involved in the production of melanocyte-stimulating hormone (MSH).