Which of the following statements is TRUE? When interest rate is quoted as an annual percentage rate (APR), it is never necessary to adjust this interest rate to a time period that matches that of our cash flows. The effective annual rate (BAR) indicates the amount of simple interest earned in one year The effective annual rate (EAR) indicates the amount of interest including the effect of compounding The effective annual rate (FAR) is always less than the annual perc gtage rate (APR)