Question: SHORT ANSWER: more details the better a. Define the terms APR, EEF (or EAR), and nominal interest rate. Provide a scenario in which each is

SHORT ANSWER: more details the better

a. Define the terms APR, EEF (or EAR), and nominal interest rate. Provide a scenario in which each is used.

b. What role do interest rates play in allocating capital to different potential borrowers?

c. How does the price of capital tend to change during a boom? During a recession?

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