Need help with an easy calculation in accounting or math

label Accounting
account_circle Unassigned
schedule 1 Day
account_balance_wallet $5

What is the correct calculation of the effective annual rate (EAR) if the stated rate is 5 percent and compounding occurs quarterly?

Question 20 options:
Dec 13th, 2015

Thank you for the opportunity to help you with your question!

EAR = (1 + 0.05/4)4 - 1.0

Please let me know if you need any clarification. I'm always happy to answer your questions.
Dec 13th, 2015

Thanks so much, Please share with me any issue concerning the same.

Dec 13th, 2015

Thank you so much

Dec 13th, 2015

You are welcome.

Dec 13th, 2015

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Dec 13th, 2015
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Dec 13th, 2015
Jun 26th, 2017
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