Prime interest rate is the ________.
A) lowest rate of interest that banks charge for short-term loans
B) average rate of interest charged by banks on their customers
C) interest rate that the Federal Reserve charges on loans
D) interest that the Federal Reserve pays for deposits
E) interest rate banks charge to their least creditworthy customers

Question

Quizplus · Accepted Answer

A)Prime interest rate is the lowest rate of interest that banks charge for short-term loans to their most creditworthy customers.
B)Prime interest rate is the lowest rate of interest that banks charge for short-term loans to their most creditworthy customers.
C)Prime interest rate is the lowest rate of interest that banks charge for short-term loans to their most creditworthy customers.
D)Prime interest rate is the lowest rate of interest that banks charge for short-term loans to their most creditworthy customers.
E)Prime interest rate is the lowest rate of interest that banks charge for short-term loans to their most creditworthy customers.

Prime Interest Rate Is the ________