Cost of commercial paper Better Effort Corporation sold an issue of 130-day commercial paper with a face value of $0.8million. The firm has recelved initial proceeds of $788,158. (Note: Assume a 365-day year.) a. What effoctive annual rate will the firm pay for financing with commercial paper, assuming that it is rolled over every 130 days throughout the year? b. If a brokerage fee of $7,851 was paid from the initial proceeds to an investment banker for selling the issue, what effective annual rote will the firm pay, assuming that the paper is rolled over every 130 days throughout the yean? a. The effective annual rate the firm will pay for financing with commercial paper, assuming that it is rolled over every 130 days throughout the year, is %. (Round to two decimal places.)