coralstoner5796 coralstoner5796

Today at 7:18 PM
Social Studies

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The primary reason that individuals and firms choose to borrow long- term is to reduce the risk that interest rates will ________ before they pay off their debt. (5 points) a. rise b. fall c. becomemorepredictable d. become more stable e. None of the above.

Answer :

ExieFansler ExieFansler

Today at 7:23 PM

Answer:

a.rise.

Explanation:

The reason behind the taking long term borrows by individuals and the firms is that they want to reduce the risk that interest rates will rise.If the interest rates will rise they will have to pay more amount as compared to before they were paying.

Hence the answer is option a.

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