Julius Juices Borrows $34,000 by Giving the Bank Its Own

Multiple Choice

Julius Juices borrows $34,000 by giving the bank its own 8%, 120-day note. The bank discounts the interest. The effective interest rate is: (Use a 360-day year. Do not round any intermediate calculations. Round your final answer two decimal places, X.XX%.)

A) 8.00%.
B) 8.22%.
C) 7.79%.
D) 8.44%.