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Business, 12.08.2019 21:20 pandaman632

What is the effective annual rate (ear)? a. it refers to the cash flows from an investment over a oneminusyear period divided by the number of times that interest is compounded during the year. b. it is the interest rate for an nminusyear time interval, where n may be more than one year or less than or equal to one year (a fraction). c. it is the interest rate that would earn the same interest with annual compounding. d. it is the ratio of the number of the annual percentage rate to the number of compounding periods per year.

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