Multiple Choice
Your bank pays a quoted annual (nominal) rate of 12%. However, it compounds interest every week (52 times a year) . What is the effective annual rate (EAR) ?
A) Less than 12%
B) Exactly 12%
C) 12.01% - 12.35%
D) 12.36% - 12.70%
E) More than 12.70%
Correct Answer:
Verified
Correct Answer:
Verified
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