1. What are the closest values to the historical arithmetic and geometric average returns for a non-dividend stock with these historical annual prices: $0.02, $0.03, $0.04, $0.05, $0.06, and $0.07.

2. Westover Ridge has a management contract with its president that requires a lump-sum payment of $20 million to be paid upon the completion of the president's first eight years of service. The company can earn 5.5 percent on its savings. To fund this obligation, the firm wants to set aside an equal amount of money every year for six years, with the first saving happening at two years from now and the last one happening at seven years from now. How much money must the firm save each year (choose the closest)?

A. $1,398,346.17

B. $1,950,028.67

C. $2,895,734.60

D. $2,752,207.54

E. $3,219,630.04