Exercise $5-26($Algo$)$ Lease payments; solve for unknown interest rate $[$LO$5-9,5-10]$

On March $31,2024,$ Southwest Gas leased equipment from a supplier and agreed to pay $$220,000$ annually for $25$ years beginning March $31,2025.$ Generally accepted accounting principles require that a liability be recorded for this lease agreement for the present value of scheduled payments. Accordingly, at inception of the lease, Southwest recorded a $$2,348,451$ lease liability.

Required:

Determine the interest rate implicit in the lease agreement.

Note: Use tables, Excel, or a financial calculator. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ PVA of $$1,$ FVAD of $$1$ and PVAD of $$1)$