Question: If Analog computers can borrow at 9.5% annually for three years, what is the effective rate of interest on a $830,000 loan where a 18%

If Analog computers can borrow at 9.5% annually for three years, what is the effective rate of interest on a $830,000 loan where a 18% compensating balance is required? (Use 360 days in a year. Round your answer to 2 decimal places.)

Multiple Choice

8.89%
16.89%
11.59%
14.34%

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