Question: Would the future value be larger or smaller if the compounding period was 6 months? ( Select the best choice below. ) A . Smaller.
Would the future value be larger or smaller if the compounding period was months?Select the best choice below.
A
Smaller. The greater the number of compounding periods per year, the smaller the impact of compound interest, all else equal.
B
Larger. The greater the number of compounding periods per year, the larger the impact of compound interest, all else equal.
C
Equal. The number of compounding periods per year does not influence the future value.
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