Tony Hawk's Adventure (THA) issued callable bonds on January 1, 2021. THA's accountant has projected the following amortization schedule from issuance until maturity:

Date	Cash Paid			Interest Expense			Increase in Carrying Value			Carrying Value
01/01/2021										$	199,341
06/30/2021	$	8,400		$	9,967		$	1,567			200,908
12/31/2021		8,400			10,045			1,645			202,553
06/30/2022		8,400			10,128			1,728			204,281
12/31/2022		8,400			10,214			1,814			206,095
06/30/2023		8,400			10,305			1,905			208,000
12/31/2023		8,400			10,400			2,000			210,000

What is the annual market interest rate on the bonds? (Hint: Be sure to provide the annual rate rather than the six-month rate.) (Do not round your intermediate calculations.)