On June 30, 2013, Gaston Corporation sold $800,000 of 11% face value bonds for $761,150.96. On December 31, 2013, Gaston sold $700,000 of this same bond issue for $734,645.28. The bonds were dated January 1, 2013, pay interest semiannually on each December 31 and June 30, and are due December 31, 2020. Required: Compute the effective yield rate on each issuance of Gaston s 11% bonds.
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