Discount-Mart issued ten thousand $1,000 bonds on January 1, 2011. They have a ten-year term and pay interest semiannually. This is the partial bond amortization schedule for the bonds.
yment
Cash
Effective Interest
Decrease in Balance
Outstanding Balance
$8,640,967
1
300,000
345,639
345,639
8,686,606
2
300,000
347,464
347,464
8,734,070
3
300,000
349,363
349,363
8,783,433
4
300,000
What is the stated annual rate of interest on the bonds?