Question: How does risk affect interest rates? A. The higher the risk the lower the interest rates OB. The lower the risk the higher the interest

How does risk affect interest rates? A. The higher the risk the lower the interest rates OB. The lower the risk the higher the interest rates C. The higher the risk the higher the interest rates 0 D. This relationship is complicated, sometimes more risk leads to higher interest rates and other times more risk leads to lower interest rates E. Actually, for fixed interest rate loans, there is no connection between risk and interest rates

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