QUESTION 1 The more often money is compounded during a year, the higher the effective annual...

Question

Question

Answer 1

Answer #1

Answer to the Question is "True"

Explanation:

As shown below the more compounding per year, the higher will be the EAR

Stated APR Frequency Period Formula for EAR EAR 9.00% Annual 1 =((1+H3/13)^13)-1 9.00% 9.00% Quarterly 4) =(1+H4/14)^34-1 9.3

Answer 2

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