Question: How much interest would be earned (on a simple interest basis) from a three-day money market loan for $1 million at an interest rate of

How much interest would be earned (on a simple interest basis) from a three-day money market loan for $1 million at an interest rate of 12 percent (annual rate)? Suppose the loan was extended on the third day for an additional day at the going market rate of 11 percent. How much total interest income would the money market lender receive?

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