Express 25 basis points as a percentage.

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Multiple Choice

Express 25 basis points as a percentage.

Explanation:
Basis points translate to percentage points: one basis point is 0.01 percentage point. So 25 basis points equals 25 × 0.01% = 0.25%. The other values correspond to 2.50% (250 basis points), 25.00% (2,500 basis points), and 0.025% (2.5 basis points), none of which match 25 basis points.

Basis points translate to percentage points: one basis point is 0.01 percentage point. So 25 basis points equals 25 × 0.01% = 0.25%. The other values correspond to 2.50% (250 basis points), 25.00% (2,500 basis points), and 0.025% (2.5 basis points), none of which match 25 basis points.

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