Farmers Bank offers to lend you $50,000 at a nominal rate of 5.0%, simple interest, with interest paid quarterly. Merchants Bank offers to lend you the $50,000, but it will charge 6.2%, simple interest, with interest paid at the end of the year. What's the difference in the effective annual rates charged by the two banks?

	a.	1.33%
	b.	1.09%
	c.	0.91%
	d.	1.11%
	e.	0.83%