Interpreting Bond Footnote Disclosures and Computing Effective Interest Rate

In $2019,$ French grocery retailer Carrefour issued bonds as follows.

Issue date May $7,2019$

Issue amount $($M$)450$

Annual coupon rate $1\%$

Maturity May $17,2027$

Issue price $99\mathrm{.}534$

a$.$ Determine the annual interest payments. $$ Answer $1$

$4\mathrm{.}5$

million

b$.$ Determine the effective interest rate.

Note: Round percentage to three decimal places $($for example, enter $6\mathrm{.}656\%$ for $6\mathrm{.}6555\%).$

Answer $2$

$\%$

c$.$ What amount of interest expense does the company report related to these bonds for the fiscal year ended December $31,2019?$

Note: Round your answers $($in millions$)$ to two decimal places.

$$ $Answer $3$

million