Question: 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

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)	500
Annual coupon rate	1%
Maturity	May 17, 2027
Issue price	99.534

a. Determine the annual interest payments. Answer

million b.Determine the effective interest rate. Note:Round percentage to three decimal places (for example, enter 6.656% for 6.6555%). Answer

% 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.

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