k. Five banks offer nominal rates of 8% on deposits, but, A pars interest annually, B pars semiannually, C pays quarterly, D pars monthly, and E pays daily, Assume 365 days in a year. 1. What effective annuai rate does each bank pay? if you deposit \$3,000 in each bank today, how much will you have in each bank at the end of 1 year? 2 years? Round your answers to two decimal places. 2. If the TVM is the only consideration, what nominal rate will case all of the banks to provide the same effective annual rate as Bank A? Round your answers to two decimal places. 3. Suppose you dont have the $3,000 but need it at the end of 1 vear. You plan to make a series of deposits - anmually for A, semiannually for B, quarterly for C, monthly for D, and daliy for E - with payments beginning today. How large must the payments be to each bank? Round your answers to the nearest cent. 4. Even if the five banks provided the same effective annual rate, would a rational investor be indifferent between the banks? It is more likely that an imvestor would prefer the bank that compounded frequently