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    Question

    In the following questions, two columns are given,

    containing three phrases each. A phrase from the first column may or may not connect with a phrase from the second column to make a grammatically and contextually correct sentence. There are five options, four of which display the sequence(s) in which the phrases can be joined to form a correct sentence. If none of the phrases makes a correct sentence, mark 'None of these' as your answer. 
    A Only B-D Correct Answer Incorrect Answer
    B Both A-F and B-E Correct Answer Incorrect Answer
    C Both B-D and C-E Correct Answer Incorrect Answer
    D All A-F, B-D and C-E Correct Answer Incorrect Answer
    E All A-D, B-F and C-E Correct Answer Incorrect Answer

    Solution

    When combining these two statements B-D: "The concept of the Federal Funds Rate influences short-term interest rates and is a key tool in the Federal Reserve's monetary policy." This sentence provides an understanding of how the Federal Funds Rate impacts short-term interest rates and plays a crucial role in the monetary policy of the Federal Reserve. When combining these two statements C-E: "Secured loans require collateral as a guarantee, reducing the lender's risk and often resulting in lower interest rates." This sentence provides insights into how secured loans work, emphasizing the role of collateral in mitigating the lender's risk and potentially leading to more favorable interest rates for borrowers. The other combinations do not form a coherent sentence with a clear connection between the ideas presented in Column I and Column II.

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