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Which of the following is true of the terms of trade?
Compounded Semiannually
Interest that is computed and appended to the original amount semi-annually.
Effective Rate
The actual interest rate that an individual earns or pays on an investment, loan, or other financial product, after compounding and other factors are taken into account.
Car Loan
A financial loan specifically used to purchase a car, typically secured by the car itself as collateral.
Periodic Rate
The interest rate applied to a financial loan or savings account that is compounded at regular intervals over a period of time.
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