Assume that the growth of the cap rate is dependent on the growth of interest rates. Use the below data to create a regression model. What would you expect the cap rate to be in year 7 if interest rates are 6.5%. Hint, you need to calculate the growth rates of both variables.

A. 7.49% B. 8.91% C. 5.69% D. 8.16% E. 6.53%

\begin{tabular}{|c|c|c|} \hline Year & Interest Rate & Cap Rate \\ \hline 1 & 0.0315 & 0.0600 \\ \hline 2 & 0.0356 & 0.0650 \\ \hline 3 & 0.0450 & 0.0665 \\ \hline 4 & 0.0567 & 0.0700 \\ \hline 5 & 0.0653 & 0.0715 \\ \hline 6 & 0.0625 & 0.0725 \\ \hline 7 & 0.0650 & \\ \hline \end{tabular}