Which of the following statements is most correct? Select one: a. Other things equal, the...
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Finance
Which of the following statements is most correct? Select one: a. Other things equal, the higher the compounding frequency, the larger the periodic interest rate. b. If an investment pays 10 percent interest compounded annually, its effective rate will be greater than 10 percent. c. Other things equal, the present value of a 5-year $100 annuity due will be larger than that of a 5-year $100 ordinary annuity. d. Other things equal, the higher the compounding frequency, the smaller the effective annual rate. e. An investment's nominal interest rate will always be equal to or greater than its effective annual rate
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