Given your worksheet calculations, which of the following statements is accurate? Is Noah's estimate of the value of Gavin's contract accurate on

either a nominal or discounted basis? Check all that apply.

It is appropriate and necessary to discount the performance bonus using the bank account's effective annual interest rate because of

differences in the timing of the compounding of the bank account and that of the payments for the performance bonus.

Noah's estimate of the value of Gavin's contract is incorrect on a nominal basis, and the error is $$59,814.$

It is appropriate and necessary to discount the endorsement contract using the bank account's effective annual interest rate because of

differences in the timing of the compounding of the bank account and that of the payments on the endorsement contract.

Related Question: The local car dealer creating Gavin's endorsement opportunity can earn $6\%($compounded quarterly$)$ on his deposited funds. She

would have to deposit

each quarter, starting exactly two years before the day Gavin signs his contract, to fund her endorsement

contract. $[$Note: The future value interest factor of $6\%$ compounded quarterly for eight quarterly periods is $8\mathrm{.}4328.]$