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Your credit card company quotes you a lending rate of 18% APR. You compute the effective annual rate (EAR) under the following four scenarios: annual

Your credit card company quotes you a lending rate of 18% APR. You compute the effective annual rate (EAR) under the following four scenarios: annual compounding, semi-annual compounding, quarterly compounding, monthly compounding. Which scenario gives you the highest EAR?

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