Which of the following statements is correct? Multiple Choice O A 15-year mortgage will have larger monthly payments than a 30-year mortgage. Saved If an account earns 3 percent per year compounded annually, then it also has an effective annual rate (EAR) of 3 percent. The present value of a $500 perpetuity is greater if the interest rate is higher. The first, second, and third statements above are correct. Only the first and second, statements above are correct.

Which of the following statements is correct? Mutiple Choice A 15-year mortgage will have larger monthly payments than a 30 -year mortgage. If an account earns 3 percent per year compounded annually, then it also has an effective annual rate (EAR) of 3 percent. The present value of a $500 perpetuity is greater if the interest rate is higher. The first, second, and third statements above are correct. Only the first and second, statements above are correct