Question: C . D . Rom has just given an insurance company $ 3 5 , 5 0 0 . In return, he will receive an

.

.

Rom has just given an insurance company $

35, 500 .

In return, he will receive an annuity of $

4, 400

for

20

years. At what rate of return must the insurance company invest this $

35, 500

in order to make the annual payments? Use Appendix D for an approximate answer, but calculate your final answer using the financial calculator method. Do not round intermediate calculations. Round your final answer to

2

decimal places.

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