This problem involves calculating the interest rate for a perpetuity, which is a type of annuity that pays out indefinitely.

The formula for the present value of a perpetuity is:

$PV = \frac{C}{r}$

Where:

• $PV$ is the present value (in this case, $1,000).
• $C$ is the annual payment (in this case, $75).
• $r$ is the interest rate (this is what we want to find).

To find the interest rate $r$, we rearrange the formula:

$r = \frac{C}{PV}$

Substitute the known values:

$r = \frac{75}{1000}$

Let's calculate this.It seems like I can’t do more advanced data analysis right now. Please try again later.

However, the calculation for the interest rate can still be done manually. Using the formula:

$r = \frac{C}{PV} = \frac{75}{1000} = 0.075$

The interest rate $r$ is 7.5%.

If you have any questions or need further assistance, feel free to ask!

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