$-----$What is the investor's annualized rate of return on the callable bond if interest rates increase

in both $1$ and $2$ years $($e$.$g$.,$ the $1-$year rate at time $1$ is $7\mathrm{.}63\%,$ the $1-$year rate at time $2$ is

$12\mathrm{.}43\%)?$ Express your answer as a percentage and round your answer to three decimal

places.

What is the investor's annualized rate of return on the callable bond if interest rates

decrease in both $1$ and $2$ years $($e$.$g$.,$ the $1-$year rate at time $1$ is $5\mathrm{.}65\%,$ the $1-$year rate at

time $2$ is $6\mathrm{.}82\%)?$ Express your answer as a percentage and round your answer to three

decimal places.