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In: AccountingRequired:Banks, credit card companies, and other lenders, state interestrates that are compounded with a...Required:Banks, credit card companies, and other lenders, state interestrates that are compounded with a frequency not equal to annual,e.g. compounded monthly, etc... There are 'historical' reasons forquoting rates in such a manner, but no matter. How does the quotedrate affect the amount of interest you would pay for a monthly caror home loan? Write 100 words.What kind of experiences do you have with a provider of creditlisting rates, and then attempting to explain that stated rate interms of 'actual,' or 'effective,' terms? Write 100words.Please write in your own words. Please don't copy fromanywhere.