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NEW QUESTION: 1


A. Option C
B. Option D
C. Option B
D. Option A
Answer: D
NEW QUESTION: 2
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A. False
B. True
Answer: B
NEW QUESTION: 3
You have $500 that you would like to invest. You have 2 choices: Savings Account A which earns 8% compounded annually or Savings Account B which earns 7.75% compounded semiannually. Which would you choose and why?
A. B because it has the higher quoted rate
B. A because it has a higher effective annual rate
C. B because it has a higher effective annual rate
Answer: B