Digital Access Incorporated needs $281,260 in funds for a project. Assume the loan term is one year. a. With a compensating balance requirement of 18 percent, how much will the firm need to borrow? Note: Do not round intermediate calculations. Amount to be borrowed b. Given your answer to part a and a stated interest rate of 19 percent on the total amount borrowed, what is the effe rate on the $281,260 actually being used? Note: Input your answer as a percent rounded to 2 decimal places. Effective rate of interest %

Digital Access Incorporated needs $281,260 in funds for a project. Assume the loan term is one year. a. With a compensating balance requirement of 18 percent, how much will the firm need to borrow? Note: Do not round intermediate calculations. b. Given your answer to part a and a stated interest rate of 19 percent on the total amount borrowed, what is the effe rate on the $281,260 actually being used? Note: Input your answer as a percent rounded to 2 decimal places. Digital Access Incorporated needs $281,260 in funds for a project. Assume the loan term is one year. a. With a compensating balance requirement of 18 percent, how much will the firm need to borrow? Note: Do not round intermediate calculations. b. Given your answer to part a and a stated interest rate of 19 percent on the total amount borrowed, what is the effe rate on the $281,260 actually being used? Note: Input your answer as a percent rounded to 2 decimal places