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Benjamin borrowed $1,000,000 to remodel his hotel. The loan is for 10 years at 6% paid annually with a 4 point up-front clause. What is

Benjamin borrowed $1,000,000 to remodel his hotel. The loan is for 10 years at 6% paid annually with a 4 point up-front clause. What is the effective interest rate?

a. 6.22

b. 6.58

c. 6.87

d. 6.93

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