An engineering company is in need of raising $$400,000$ for a specialized piece of new equipment and has options:

a$)$ Issuing $100-$$$4000$ bonds with a $5\%$ annual coupon rate that will mature in $10$ years, or

b$)$ Taking a $$400,000$ commercial $10-$year amortized loan with annual payments.

What would the effective annual rate of the loan have to be such that you would be indifferent between th options if the company MARR is $6\%/$year$?$