Question

The_____can also decide whether the interest should be _______ or annual.

• A. customer... monthly
• B. investor......cumulative
• C. officer..... seasonal
• D. bank.... occasional

Answer 1

The Correct Option is B

To solve this question, let's analyze the given options and the context:

The sentence is: "The_____can also decide whether the interest should be _______ or annual."

Let's evaluate each option to understand which fits logically and contextually:

1. customer... monthly: The word "customer" could logically fit in the first blank as a customer may have the option to decide on interest terms. However, "monthly" is a frequency, not an accumulative form, and typically interest is compared between accumulative or non-cumulative (annual) forms.
2. investor......cumulative: An "investor" can decide on interest term preferences; "cumulative" correctly contrasts with "annual" as methods for accumulating interest (cumulative involves compounding over time).
3. officer..... seasonal: The term "officer" is usually not associated with deciding interest terms. Additionally, "seasonal" interest is not a commonly understood concept like "cumulative" or "annual."
4. bank.... occasional: A "bank" does set terms for interest rates. However, "occasional" is not a valid type of interest accumulation method in standard financial contexts.

Upon careful evaluation, the most appropriate pair to complete the sentence is "investor......cumulative". The matched terms "investor" and "cumulative" fit the context where someone decides how interest should be compounded, either as cumulative or annual. The correct option successfully represents a logical and common scenario in financial contexts.

Therefore, the correct answer is: investor......cumulative.