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When Comparing Different Investment Opportunities (Each with the Same Risk)with

Question 44

Multiple Choice

When comparing different investment opportunities (each with the same risk) with different interest rates reported in different ways you should


A) convert each interest rate to an annual nominal rate.
B) convert each interest rate to a monthly nominal rate.
C) convert each interest rate to an effective annual rate.
D) compare them by using the published annual rates.
E) convert each interest rate to an APR.

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