When business companies started investing with funds generated internally is a point which shows that
A. cost of loanable funds is high
B. cost of loanable fund is low
C. equilibrium is zero
D. equilibrium is negative
Answer: Option A
Solution(By Examveda Team)
When business companies started investing with funds generated internally is a point which shows that cost of loanable funds is high. Loanable funds is the sum total of all the money people and entities in an economy have decided to save and lend out to borrowers as an investment rather than use for personal consumption.Related Questions on International Finance and Treasury
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A. International Monetary Fund
B. International bank for Reconstruction and Development
C. International Financial Corporation
D. World Trade Organisation
A. Merchandise Payment
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