A bank offers your firm a revolving credit arrangement for up to $$110$ million at an interest rate of $2\mathrm{.}1$ percent per quarter. The bank also requires you to maintain a compensating balance of $7$ percent against the unused portion of the credit line, to be deposited in a non$-$interest$-$bearing account. Assume you have a short$-$term investment account at the bank that pays $1\mathrm{.}4$ percent per quarter, and assume that the bank uses compound interest on its revolving credit loans.

What is your effective annual interest rate if you borrow $$110$ million immediately and repay it in one year?