In which of the following situations would you prefer to be the borrower? (A) The interest rate is 4 percent and the expected inflation rate is 1 percent. (B) The interest rate is 25 percent and the expected inflation rate is 50 percent. (C) The interest rate is 9 percent and the expected inflation rate is 7 percent. (D) The interest rate is 13 percent and the expected inflation rate is 15 percent.
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