Question: How to interpret a rate statement given as being 2 % per month? Multiple choice question. The nominal rate is 2 4 % per year

How to interpret a rate statement given as being 2% per month?
Multiple choice question.
The nominal rate is 24% per year compounded yearly.
The nominal rate is 2% per month compounded yearly.
The effective rate is 24% per year compounded yearly.
The effective rate is 2% per month compounded monthly.

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