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Which of the following statements is FALSE? Compounding essentially means earning interest on interest. Perpetuities pay an equal payment forever. For the same annual quoted

Which of the following statements is FALSE?

Compounding essentially means earning interest on interest.

Perpetuities pay an equal payment forever.

For the same annual quoted rate, quarterly compounding has a higher effective annual rate than monthly compounding.

On monthly compounding loans, the effective annual rate will be higher than the quoted rate of interest.

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