On January 1, 2013, Tennessee Harvester Corporation issued debenture bonds that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below:

Payment	Cash Payment			Effective Interest			Increase in Balance			Outstanding Balance
											6,221,759
1		356,000			373,306			17,306			6,239,065
2		356,000			374,344			18,344			6,257,409
3		356,000			375,445			19,445			6,276,854
4		356,000			376,611			20,611			6,297,465
5		356,000			377,848			21,848			6,319,313
6		356,000			379,159			23,159			6,342,472
~		~			~			~			~
~		~			~			~			~
~		~			~			~			~
38		356,000			505,452			149,452			8,573,656
39		356,000			514,419			158,419			8,732,075
40		356,000			523,925			167,925			8,900,000

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?

	Effective interest rate
	Straight-line 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?