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Zhang Company, an IFRS company, sold $8,000,000 of 6%, 3-year bonds on January 1, 2016. The bonds pay semi-annual interest each June 30 and December

Zhang Company, an IFRS company, sold $8,000,000 of 6%, 3-year bonds on January 1, 2016. The bonds pay semi-annual interest each June 30 and December 31. It cost the company $30,000 in bond issue costs. What is the effective semi-annual interest rate for the bonds?

A) 2.6%

B) 4.47%

C) 3.07%

D) 5.1%

Please show your work so I can understand how you got that.

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