AAFM Chartered Wealth Manager (CWM) Global Examination GLO_CWM_LVL_1 Question # 130 Topic 14 Discussion

AAFM Chartered Wealth Manager (CWM) Global Examination GLO_CWM_LVL_1 Question # 130 Topic 14 Discussion

GLO_CWM_LVL_1 Exam Topic 14 Question 130 Discussion:
Question #: 130
Topic #: 14

You as a Chartered Wealth Manager have been approached by a client who is depositing some amount in an account that pays a ROI of 12% p.a compounded monthly. She also has an option of investing in another account that pays ROI 12.76% p.a. compounded annually. She wants to know which of these is a better choice.


A.

12% P.A compounded monthly is better


B.

12.76% P.A. Compounded Annually is better


C.

12.76% P.A. is better by .0775 %


D.

12% P.A compounded monthly is better by .0775%


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