# Question

Kirk Van Houten, who has been married for 23 years, would like to buy his wife an expensive diamond ring with a platinum setting on their 30- year wedding anniversary. As sume that the cost of the ring will be $ 12,000 in 7 years. Kirk currently has $ 4,510 to invest. What annual rate of return must Kirk earn on his investment to accumulate enough money to pay for the ring?

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