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First Bank offers personal loans at 6.7 percent compounded monthly. Second Bank offers similar loans at 6.9 percent compounded semi-annually. Which one of the following

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First Bank offers personal loans at 6.7 percent compounded monthly. Second Bank offers similar loans at 6.9 percent compounded semi-annually. Which one of the following statements is correct concerning these loans? a. The effective percentage rate for the Second Bank loans is 6.95 percent. b. The Second Bank loan has an effective rate of 7.02 percent. C. Borrowers should prefer the loans offered by Second Bank. d. Dhe First Bank loan has an effective rate of 7.11 percent. e. The rates in both banks are the same

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