2. (First Pass) Fast Freddie offers financing on furniture in the following way: "We don't do any of the complicated interest stuff. We just add a simple 14% carrying charge to the purchase price before we divide by 12 to get your monthly payment. The furniture is yours after twelve payments." The first payment is due one month after the purchase date. Determine the effective annual interest rate for this loan. A. Less than 14% B. At least 14%, but less than 18% C. At least 18%, but less than 22% D. At least 22%, but less than 26% E. At least 26%