In which scenario would it be most advantageous for you to act as the lender?

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The stated interest rate is 15% while inflation is at 14%The stated interest rate is 20% with inflation reaching 25%The stated interest rate is 12% and inflation is 9%The stated interest rate is 5% and inflation is only 1%

Explanation

Lending is preferable when the real interest rate (nominal interest rate minus inflation) is positive and relatively high. Option D offers a nominal rate of 5% with inflation at 1%, resulting in a real interest rate of 4%, which is the most favorable among the given choices.