Sandhill Corporation issued $$5980000$ of $9\%,$ ten$-$year convertible bonds on July $1,2024$ at $96\mathrm{.}1$ plus accrued interest. The bonds were dated April $1,2024$ with interest payable April $1$ and October $1.$ Bond discount is amortized semiannually on a straight$-$line basis. On April $1,2025,$ $$1110000$ of these bonds were converted into $500$ shares of $$20$ par value common stock. Accrued interest was paid in cash at the time of conversion.

What was the effective interest rate on the bonds when they were issued?

$9\%$

above $9\%$

below $9\%$

cannot determine from the information given.