Betty Bronson has just retired after 25 years with the electric company. Her total pension funds have an accumulated value of $260,000, and her life expectancy is 20 more years. Her pension fund manager assumes he can earn a 13 percent return on her assets. Based on these expectations, calculate her yearly annuity for the next 20 years. (Enter your answer as a positive number rounded to 2 decimal places.)

2.

If you borrow $8,637 and are required to pay back the loan in five equal annual payments of $2,700, what is the interest rate associated with the loan? (Round your answer to the nearest whole percent.)