Which one of the following statements is NOT true?
A) The correct way to annualize an interest rate is to compute the effective annual interest rate (EAR).
B) The APR is the annualized interest rate using simple interest.
C) The correct way to annualize an interest rate is to compute the annual percentage rate (APR).
D) You can find the interest rate per period by dividing the quoted annual rate by the number of compounding periods.
Answer: C
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