9. (a) Will the future value be larger or smaller if we compound an initial amount more often than annuallyfor example, every 3 months, or quarterlyholding the stated interest rate constant? Why?

Yes the future value will be larger if we compound amounts more often than annually. This is due to compound interest.

(b) Define the stated, or quoted, or simple, rate, (rSIMPLE), annual percentage rate (APR), the periodic rate (rPER), and the effective annual rate (rEAR).