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: Cash Payment Effective Interest Increase in Balance Payment 261,000 261,000 261,000 261,000 261,000 261,000 279,121 279,846 280, 600 281,384 282,199 283,047 18, 121 18,846 19,600 20,384 21,199 22,047 Outstanding Balance 6,978,029 6,996,150 7,014,996 7,034.596 7.054.980 7,076, 179 7,098,226 38 261,000 261,000 261,000 338, 343 341,437 344,650 77,343 80,437 83,650 8,535,913 8,616,350 8,700,000 40 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? Face amount Initial selling price Term to maturity Interest is determined by what approach? 3. years