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Posted on Jul 28, 2024

Professors Annuity Corp. offers a lifetime annuity to retiring professors. For a lump payment today of $26,531.58, the firm will pay the retiring professor $4,000

Professors Annuity Corp. offers a lifetime annuity to retiring professors. For a lump payment today of $26,531.58, the firm will pay the retiring professor $4,000 per year for 15 years.

What is the interest rate on the annuity? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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