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The estimated construction cost of a stadium building is $30 million. The owner is authorized to...

The estimated construction cost of a stadium building is $30 million. The owner is authorized to issue $35 million. The bonds will be redeemable at the end of the 30th year. The annual interest of the bond principal is 10% for the first 15 years and 15% for the last 15 years. The highest bid received is $33.5 million. What is the effective rate of interest?

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