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. The nominal interest rate given on a car loan is a rate of 5% annually, compounded monthly, and you will make monthly car payments.

. The nominal interest rate given on a car loan is a rate of 5% annually, compounded monthly, and you will make monthly car payments. What is the annual effective interest rate? What is the monthly effective interest rate? If the rate was 5% annually, compounded annually, would your car loan payments be greater or less than the rate initially given? Why

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