Compounding frequency, time value, and effective annual rates For each of the cases in the following table, EEB a. Calculate the future value at the end of the specified deposit period. b. Determine the effective annuai rate, EAR c. Compare the nominal annual rate, r, to the effective annual rate, EAR. What relationship exists between compounding frequency and the nominal and effective annual rates? a. The future value of caso A at the end of year 5 is SLI (Round to the nearest cent.) The future value of case B at the end of year 4 is Round to the nearest cent.) The future value of case C at the end of year12 is $(Round to the nearest cent.) The future value of case D at the end of year 8 is S(Round to the nearest oent.) b. The effective annual rate of case A is %. (Round to two decimal places.) The effective annuai rate of case Bis The effective annuai rate of case C is The effecive annuai rate of case D is c. What relationship exists between compounding frequency and the nominal and effective annual rates? Data Table (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Compounding frequency, Deposit period Amount of Nominal Case nitial deposit annual rate, r D96. ( Round to two decimal places.) 0%. (Round to two decimal places.) (Rounc to two decimal places.) 52,400 $49,000 $1,000 $17,000 7% 13% 6% 16% 12 (Select the best answer below.) PrintDone O The effective rates of interest decrease relative to the stated nominal rate with increasing compounding frequency. O The stated nominal rate increases relative to the effective rate of interest with increasing compounding frequency. O The effective rates of interest rise relative to the stated nominal rate with increasing compounding frequency