Grace is considering selling all of her holding of stocks and putting the money into a bank account. After checking out three banks, she obtained the following information: 

i) Bank A alc: 24% APR with annual compounding

ii) Bank Ba/e: 22% APR with semi-annual compounding

iii) Bank Ca/e: 24% APR with daily compounding (360 days per year and 30 days per month) 

Just based on the quarterly return(Effective Quarterly Rate) of the accounts, which one would Grace prefers the most and which one the least? 

Answer rating: 100% (QA)

Effective Quarterly rate is given by 1rnnt 1 For Bank A ... View the full answer