2. A financial company is going to borrow $5 million for 3 months. The company has three options: A. a commercial bank offering a 5% annual rate loan; B. an insurance firm can provide a 4.4% annual rate discount loan and C. a brokerage can provide a 4% annual rate loan with 8% compensation balance. a) What is the effective annual rate for each option assume that the company has no any deposit in each organization? b) Which option should the company use to borrow money