Your company plans to borrow $13 million for 12 months, and your banker gives you a stated rate of 24% interest. You would like to know the effective rate of interest for the following types of loans. (Each of the following parts stands alone).

A. Simple 24% interest with a 10% percent compensating balance.

B. Discounted Interest

C. An installment loan (12 payments)

D. Discounted interest with a 5% compensating balance.