If Analog Computers can borrow at $8\%$ for $3$ years, what is the effective rate of interest on a $$1,000,000$ loan where a $15\%$ compensating balance is required?

Question $14$Answer

a$.$

$11\mathrm{.}18\%$

b$.$

$17\mathrm{.}27\%$

c$.$

$9\mathrm{.}4\%$

d$.$

None of the given options is correct.

e$.$

$10\mathrm{.}50\%$