Your company plans to borrow $14 million for 12 months, and your banker gives you a stated rate of 20 percent interest Calculate the elective rate of interest for the following types of loans. a. Simple 20 percent interest with a 8 percent compensating balance. (Use 365 days o year Round the final answer to 2 decimal places.) Effective rate b. Discounted interest. (Use 365 days a year. Round the final answer to 2 decimal places-) Effective rate c. An installment loan (12 payments)- (Round the final answer to 2 decimal places.) Effective rate

d. Discounted interest with a 1 percent administration fee. (Round the final answer to 2 decimal places.)

effective rate