Question: Which loan will result in a higher effective interest rate paid by the borrower? A. 8%, 5-year loan compounded annually B. 8%, 5-year loan compounded

Which loan will result in a higher effective interest rate paid by the borrower? A. 8%, 5-year loan compounded annually B. 8%, 5-year loan compounded monthly C. 8%, 5-year loan compounded daily D. All the choices above have the same effective interest rate

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