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Which of the following best describes the annual percentage rate? O A. the discount rate, when effective annual rate is divided by the number of

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Which of the following best describes the annual percentage rate? O A. the discount rate, when effective annual rate is divided by the number of times it is compounded in a year B. the discount rate, when compounded more than once a year or less than once a year c. the quoted interest rate which considered with the compounding period, gives the effective interest rate D. the effective annual rate, after compounding is taken into account An investor has the opportunity to invest in four new retail stores. The amount that can be invested in each store, along will A. Initial investment: $100,000; Cash flow in year 1: $12,000; Growth Rate: 1.25%; Cost of Capital: 9.1% B. Initial investment: $90,000; Cash flow in year 1: $10,000; Growth Rate: 1.50%: Cost of Capital: 9.2% OC. Initial investment: $80,000: Cash flow in year 1: $8000; Growth Rate: 1.75%; Cost of Capital: 8.1% D. Initial investment: $60,000; Cash flow in year 1: $6000; Growth Rate: 2.50%; Cost of Capital: 7.3%

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