What would the effective interest rate be on this loan

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Reference no: EM13768138

Wu Corporation has been offered a loan of $1,000,000 at a rate of 8.5%, simple interest, with monthly interest payments and a 365-day year. What would the effective interest rate be on this loan?

If Wu's $1,000,000 loan had been 8.5%, add-on, payable in 12 end-of-month installments, what would its APR have been?

Reference no: EM13768138

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