How does the effective annual rate differ from the stated, Project Management

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How does the effective annual rate differ from the stated

1. How does the effective annual rate differ from the stated (nominal) rate?

2. When constructing an amortization schedule, how is the periodic payment amount calculated?

3. Does the periodic payment remain constant over time?

4. Do the principal and interest components remain constant over time? Explain your answer.

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Project Management: How does the effective annual rate differ from the stated

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