Seven years ago, G&W Incorporated sold a 20-year bond issue with a 14% coupon rate and a 9% call premium. Today, G&W called the bonds. The bonds originally were sold at their face value of $1,000. Compute the realized rate of return for investors who purchased the bonds when they were issued and who surrender them today in exchange for the call price.

(Do not use excel or financial calculator to solve the questions)