Question

A number calculated by an independent party which represents the current market rate as calculated using various factors is called a(n)___.

A) amortization
B) rate
C) factor
D) index

Answer 1

A number calculated by an independent party which represents the current market rate as calculated using various factors is called an INDEX

Index is an entity that helps to compare the returns yielded during any investments. This tool is used by financial managers and investors of the market to describe the market face.