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Your bank account pays an 8% nominal rate of interest. The interest is compounded quarterly. Which of the following statements is CORRECT? Group of answer

Your bank account pays an 8% nominal rate of interest. The interest is compounded quarterly. Which of the following statements is CORRECT?

Group of answer choices

The periodic rate of interest is 2% and the effective rate of interest is greater than 8%.

The periodic rate of interest is 2% and the effective rate of interest is 4%.

The periodic rate of interest is 4% and the effective rate of interest is less than 8%.

The periodic rate of interest is 8% and the effective rate of interest is also 8%.

The periodic rate of interest is 8% and the effective rate of interest is greater than 8%.

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