Q665
Inflation rate in United States is added into real rate of interest to calculate
A.
quoted interest rate in United States
B.
nominal interest rate in United States
C.
interest rate in United States
AnswerD.
discount rate of country
Answer: Option C
Solution
Answer: Option C
Solution:
Inflation rate in United States is added into real rate of interest to calculate interest rate in United States. Inflation is a quantitative measure of the rate at which the average price level of a basket of selected goods and services in an economy increases over a period of time.