Interest is______________?
Correct answer: A. Payment made for the use of another person's money
- A. Payment made for the use of another person's money
- B. Payment made for the use of bank's money
- C. Share in profit
- D. Devaluation in the Currency
Explanation
Interest is the return paid for borrowing or using someone else’s money, usually stated as a percentage of the principal. It is not a profit share or a fall in currency value.
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Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.
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