Problem $5-8$ Effective Annual Rate $($LG$5-7)$

A loan is offered with monthly payments and a $10\mathrm{.}25$ percent APR. What's the loan's effective annual rate $($EAR$)?$

Note: Do not round intermediate calculations and round your percentage answer to $2$ decimal places $($i$.$e$.,0\mathrm{.}1234$ should be entered as $12\mathrm{.}34).$