Question: Discount - Mart issued ten thousand $ 1 , 0 0 0 bonds on January 1 , 2 0 2 1 . The bonds have

Discount-Mart issued ten thousand $1,000 bonds on January 1,2021. The bonds have a 10-year term and pay interest semiannually. This is thepartialbond amortization schedule for the bonds.
PaymentCashEffective
InterestDecrease in
BalanceOutstanding
Balance8,640,9671300,000345,63945,6398,686,6062300,000347,46447,4648,734,0703300,000349,36349,3638,783,4334300,000
What is the effective annual rate of interest on the bonds?
8%.
4%.
3%.
6%.

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