Which of the following statements is CORRECT?
a. An investment that has a nominal rate of 6% with semi annual payments will have an effective rate that is smaller than 6%.
b. The present value of a 3-year, $150 ordinary annuity will exceed the present value of a 3-year, $150 annuity due
c. If a loan has a nominal annual rate of 7%, then the effective rate will never be less than 7%
d. The proportion of the payment that goes toward interest on a fully amortized loan increases over time.