You are considering three different investments one paying, Finance Basics

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You are considering three different investments one paying

Question: You are considering three different investments:

(a) one paying 7% compounded quarterly;

(b) one paying 7.1% compounded annually;

Which investment has the highest effective annual rate of return?

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Finance Basics: You are considering three different investments one paying

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Finance Basics: You are considering three different investments one paying

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