Captain Hook has his eye on a pirate ship that currently sells for $3.4 million. Its price is increasing at an annual rate of 2.0 percent. If he has already saved $2.5 million as of today, what annual rate of return would he need to earn on those savings to be able to afford the pirate ship 4 years from today, assuming he saves no more money?

Group of answer choices

a. 7.99

b. 10.70

c. 5.87

d. 10.15

e. 9.61