A Benchmark That Banks Often Use in Quoting Interest Rates

question 276

Multiple Choice

A benchmark that banks often use in quoting interest rates to their favored customers is the

• A) federal funds rate.
• B) discount rate.
• C) prime rate.
• D) 3-month Treasury bill rate.

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Definitions:

Product Liability Suit

A legal claim against a manufacturer or seller for producing or selling a defective product that caused harm to the consumer.

Negligence

The failure to exercise the level of care that a reasonably prudent person would under similar circumstances, resulting in harm.

Cause in Fact

A legal principle determining whether a defendant's actions are the actual cause of the plaintiff's injury.

Injury

A physical or mental harm to a person that is caused by an accident, disease, or some other event.