Discount- Mart issues $17 million in bonds on January 1, 2021. The bonds have a eight-year term and pay interest semiannually on June 30 and December 31 each year. Below is a partial bond amortization schedule for the bonds: Interest Expense Increase in Carrying Value Cash Paid Date 01/01/2021 06/30/2021 12/31/2021 06/30/2022 12/31/2022 $510,000 510,000 510,000 510,000 $600, 764 604,395 608,171 612,098 $ 90,764 94,395 98,171 102,098 Carrying Value $15,019, 110 15,109,874 15, 204,269 15,302,440 15,404,538 What is the market annual rate of interest on the bonds? (Hint: Be sure to provide the annual rate rather than the six-month rate.) (Do not round your intermediate calculations.) Multiple Choice 6%. O 3% O 7%. 8%. O