Other Things the Same,an Increase in the Interest Rate Makes

question 10

Multiple Choice

Other things the same,an increase in the interest rate makes the quantity of loanable funds supplied

• A)rise,and investment spending rise.
• B)rise,and investment spending fall.
• C)fall,and investment spending rise.
• D)fall,and investment spending fall.

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Definitions:

Cash Receipts

Money received by a business during a particular period, including revenues from sales, loan proceeds, and cash from other sources.

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered or used but not yet paid for.

Bad Debts

Accounts receivable that a company is unable to collect, often written off as an expense because they are considered irrecoverable.