The answer is true because interest means that you owe someone something so you have to pay more than the amount you had to pay originally and when you get money lent to you regularly, then that is also interest.
The correct answer for this question is this one: market and demand.
If the raw market cost for producing a particular good is lower for one producer than another the former producer has demand for producing the good. Hope this helps you answer your question.
didn't you learn this in your teachings or book