Question: For a bank deposit paying 12% compounded annually, which one of the following statements is correct? APR = EAR The real APR is lower than

For a bank deposit paying 12% compounded annually, which one of the following statements is correct?

APR = EAR

The real APR is lower than 12%

The EAR is higher than 12%

There is not enough information to answer the question

EAR < APR

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