Which of the Following Would Be LEAST Likely to Lower

question 42

Multiple Choice

Which of the following would be LEAST likely to lower the interest rate that a bank offers a borrower?

• A) The number of borrowers seeking funds is low.
• B) The expected inflation rate is expected to be low.
• C) The borrower is judged to have a low degree of risk.
• D) The loan will be for a long period of time.

---

Definitions:

Understood Terms

refers to the implicit or explicit conditions agreed upon by all parties in a contract.

Gap-Fillers

are provisions in law or a contract that supply missing terms necessary to resolve issues not explicitly addressed by the parties involved.

Minor Differences

Minor Differences refer to small or insignificant variations or discrepancies that do not materially impact the nature or outcome of a situation or agreement.

Nonconforming Goods

Products delivered under a contract that fail to meet the specifications or standards agreed upon.