$2)$ Which statement is false when it comes to Time Value of Money and compounding interest?

a$)$ Compounding occurs when interest earns interest.

b$)$ With a loan, more frequent compounding during the year allows you to pay off the debt earlier.

c$)$ Two factors that impact compounding interest are the Interest Rate and Time. The higher the Interest Rate, the more interest accumulated; with Time, the longer the duration, the more interest is generated.

d$)$ Banks and credit card companies typically advertise the rates on their loans using the Annual Percentage Rate $($APR$)$ versus advertising the Effective Annual Rate $($EAR$).$

e$)$ The Effective Annual Interest Rate $($EAR$)$ is an interest rate that reflects the true rate that you owe on a loan or a credit card