4% 2 4 Years 0 $100 $300 $300 -$50 1. Will the future value be larger or smaller if we compound an initial amount more often than annually 2. Define (a) the stated (or quoted or nominal) rate, (b) the periodic rate, and (c) the effective annual rate (EAR 3 What is the EAR corresponding to a nominal rate of 4% compounded semiannually? Compounded quarterly? 4, what is the future value of $100 after 3 years under 4% semiannual compounding, Charted (eg., semiannually, holding the stated (nominal) rate constant)? Why? or EFF%). Compounded daily