On January 1, 2021, Tennessee Harvester Corporation issued debenture bonds that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below:

Required:1. What is the face amount of the bonds?2. What is the initial selling price of the bonds?3. What is the term to maturity in years?4. Interest is determined by what approach?5. What is the stated annual interest rate?6. What is the effective annual interest rate?7. What is the total cash interest paid over the term to maturity?8. What is the total effective interest expense recorded over the term to maturity?

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Cash Effective Increase in Outstanding Balance Payment Payment Interest Balance 6,627,273 6,638,637 320,000 331,364 11,364 331,932 2 320,000 11,932 6,650,569 320,000 6,663,097 6,676,252 3 332,528 12,528 13,155 333,155 4 320,000 320,000 333,813 334,503 13,813 6,690,065 320,000 14,503 6,704,568 38 320,000 389,107 69,107 72,562 7,851,247 7,923,809 8,000,000 39 320,000 392,562 320,000 76,191 40 396,191