Cheap Money Bank offers your firm a discount interest loan with an interest rate of $8$ percent for up to $$28$ million, and in addition

requires you to maintain a $5$ percent compensating balance against the face amount borrowed. What is the effective annual interest

rate on this lending arrangement?

Note: Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.$

Effective annual rate