The interest rate banks charge other banks for overnight loans is ...

[dollx]

The interest rate banks charge other banks for overnight loans is
 
  A) the federal funds rate.
  B) targeted by the FDIC.
  C) higher than interest rates for securities and loans.
  D) lower than interest rates for loans, but higher than interest rates for securities.

Question 2

In November 2008, automobile executives from Ford, GM and Chrysler testified to Congress that their firms needed a 25 billion bailout to prevent bankruptcies. The executives stated that part of the cash would be used to re-design production lines.
 
  The 25 billion is ________ and the re-designed production lines are ________. A) financial capital; physical capital
  B) gross investment; physical capital
  C) physical capital; financial capital
  D) net investment; gross investment

[underwood14]

Answer to Question 1

A

Answer to Question 2

A

[dollx]

TYSM

[shailee]

Thanks for the timely response, appreciate it