$($a$)$ Compute the effective interest rate corresponding to a nominal interest rate of $4\%$ compounded semiannually.

Effective interest rate, as a percent, rounded to $4$ decimal places $=\%$

$($b$)$ Compute the effective interest rate corresponding to a nominal interest rate of $3\mathrm{.}96\%$ compounded quarterly.

Effective interest rate, as a percent, rounded to $4$ decimal places $=\%$

$($c$)$ Select the investment that offers the better return.

$4\%$ compounded semiannually

$3\mathrm{.}96\%$ compounded quarterly