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Assume the inflation rate is 2.51% APR, compounded annually. Would you rather eam a nominal retum of 5 86% APR, compounded semiannually, or a real

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Assume the inflation rate is 2.51% APR, compounded annually. Would you rather eam a nominal retum of 5 86% APR, compounded semiannually, or a real return of 204% APR, compounded quarterly? (Note: Be careful not to round any intermediate steps less than six decimal places.) To put these on the same basis, you must convert thern both to nominal EARS The EAR for 5.88% APR, compounded semlannually is . (Type your answer in decimal format. Round to six decimal places.) The nominal EAR for a real 2.04% APR compounded quarterly in (Type your answer in decimal format. Round to six decimal places) You would rather var (Select from the drop-down menu.) the nominal rate APR, compounded semiannually real rate APR, compounded quarterly

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