You may antempt this question 2 more twes for credit. A bank just launched a new savings account that earns intereot at the rate of 6.85% compounded daly. The bank points out that this 6.85% rate is equivelent to eaming 7.09% compounded annually. What label do we give to the 7.09% in this example? A compounded annual interest rate A conkinucus interest rate: A diecounted annual interest rate A simple annual interest rate An effective annual interest rate You may attempt this question 2 more times for credit. In the context of calculating present values, what is another name for the interest rate? The compound rate The profit rate The simple rate The discount rate The effective rate You may attempt this question 2 more times for credit. Ray is in a situation where he needs to choose whether to go to graduate school or accept a job at a local bank with $35,000 annual salary. Suppose he chooses graduate school. In this case, what do we call the $35.000 ? An opportunity cost Borrowing Compounding An imvestment Disccunting