Correct Answer: B) “The interest rate paid on loans differs from the interest rate earned on savings.” Here’s why: Banks pay you a small amount of interest when you put your money into a savings account. That’s your savings interest rate . But when you borrow money from a bank (like a loan or a mortgage), the bank charges you a different interest rate, and that one is usually much higher . So yes, these two interest rates are not the same , which makes Option B the correct answer. As for the other choices: Options A and D are wrong because the Federal Reserve doesn't directly set interest rates on savings or loans. It sets a baseline rate (called the federal funds rate) that influences what banks charge or pay. Option C is incorrect because the rates on savings and loans are not the same.

Electrical engineering — Q&A

Electrical engineering

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Estimated Time to Solve (Optional):\r\nNo Time Estimate\r\nBIU\r\nInter▾\r\n16▾\r\nA -\r\n三、\r\n©\r\nX ?\r\nExtracted Text:\r\nQuestion: Which of the following statements is correct?Multiple choice question. The interest rate\r\nearned on savings is set by the Federal Reserve. The... Which of the following statements is correct?\r\nMultiple choice question. The interest rate earned on savings is set by the Federal Reserve. The\r\ninterest rate paid on loans differs from the interest rate earned on savings. The interest rate paid on\r\nloans is the same as the interest rate earned on savings. The interest rate paid on loans is set by the\r\nFederal Reserve.\r\nYou have 157 questions left.\r\nAsk a Question

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Electrical engineering

Electrical engineering

Anu Bhardwaj

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