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You plan to invest some money in a bank account. Which of the following nominal interest rates provides you with the highest effective rate of

You plan to invest some money in a bank account. Which of the following nominal interest rates provides you with the highest effective rate of interest?

		6.0% with daily (365-day) compounding.
		6.0% with quarterly compounding.
		6.0% with annual compounding.
		6.1% with annual compounding.
		6.0% with monthly compounding.

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