X2 issued callable bonds on January 1, 2021. The bonds pay interest annually on December 31 each year. X2's accountant has projected the following amortization schedule from issuance until maturity: Interest Expense Decrease in Carrying Value Cash Paid Date 01/01/2021 12/31/2021 12/31/2022 12/31/2023 12/31/2024 12/31/2025 $15,000 15,000 15,000 15,000 15,000 $14,304 14,224 14,134 14,035 13,924 $ 696 776 866 965 1,076 Carrying Value $124,380 123,684 122,907 122,042 121,076 120,000 What is the annual market interest rate on the bonds? Multiple Choice 5.8%. 6.3%. 11.5%. C 12 594