You lend a friend $10,000 for a year. At the end of the year your friend agrees to pay you $10,700. The interest rate on this loan is

A. 0.07%.
B. 7.00%
C. 107%.
D. indeterminate from this information.


Answer: B

Economics

You might also like to view...

Graphically illustrate the quantity rule and the shutdown rule for a price-taking firm.

What will be an ideal response?

Economics

Historical note: During the 1970s, when the aggregate supply curve shifted to the left, the result was

a. cost-push inflation and demand-pull inflation b. demand-pull inflation c. cost-push inflation and greater employment d. stagflation e. deflation

Economics

Figure 10-6 ? In Figure 10-6, which graph best illustrates the effect of the beginning of the Iraq war in 2003?

A. (1) B. (2) C. (3) D. (4)

Economics

How should per capita real Gross Domestic Product (GDP) be used?

A. Per capita real Gross Domestic Product (GDP) is a good gauge of a nation's quality of life because it takes into account a nation's cultural and spiritual values. B. It is a reasonably good measure of productive activity. C. It is an accurate measure of economic well-being. D. all of these

Economics