Respuesta :
Answer: Option 'B' is correct.
Step-by-step explanation:
Since we have given that
Compounded monthly rate = 1.75% = 0.175
We need to find the annual rate of interest.
As we know that
Annual rate = 12 months
So, it will be divided by 12 to get the annual rates.
So, Annual rate would be
[tex]\dfrac{0.175}{12}=0.01458\\\\=0.01458\times 100\%\\\\=1.45\%[/tex]
Hence, Option 'B' is correct.
