Examlex
Which of the following processes is endothermic?
Monthly Compounding
An interest calculation method where the accrued interest is added to the principal sum every month, leading to an increase in the amount of subsequent interest accruements.
Effective Rate
The actual interest rate earned or paid on an investment or loan, taking into account the compounding of interest.
Quarterly Compounding
Interest calculation that occurs four times a year, effectively increasing the amount of interest accrued over time.
Effective Rate
The interest rate on a loan or financial product that reflects the compounding periods in a year, presenting a true annual rate of return.
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