You will be graduating in two years and are thinking about your future. You know that you will want to buy a house five years after you

graduate and that you will want to put down $$59,000.$ As of right now, you have $$8,000$ in your savings account. You are also fairly

certain that once you graduate, you can work in the family business and earn $$32,000$ a year, with a $5$ percent raise every year. You

plan to live with your parents for the first two years after graduation, which will enable you to minimize your expenses and put away

$$10,000$ each year. The next three years, you will have to live on your own, as your younger sister will be graduating from college and

has already announced her plan to move back into the family house. Thus, you will be able to save only $13$ percent of your annual

salary. Assume that you will be able to earn $7\mathrm{.}2$ percent on the savings from your salary. At what interest rate will you need to invest

the current savings account balance in order to achieve your goal? Remember, you want to buy a house seven years from now and your

first salary will be in Year $3.($Do not round intermediate calculations. Round final answer to $2$ decimal places, e$.$g$.15\mathrm{.}25.)$

Excel Template

$($Note: This template includes the problem statement as it appears in your textbook. The problem assigned to you here may have

different values. When using this template, copy the problem statement from this screen for easy reference to the values you've

been given here, and be sure to update any values that may have been pre$-$entered in the template based on the textbook version of

the problem.$)$

Interest rate needed to achieve the goal