1. John Foresight has just invested $8,370 for his daughter (age one). The money will be used for his daughters education 17 years from now. He calculates that he will need $90,000 for his daughters education by the time the girl goes to school. What rate of return will Mr. Foresight need to achieve this goal?

[Hint: Use an appropriate formula, and provide all calculations necessary to support your answer.]