An investment in a real estate venture will provide returns at the end of the next four years as follows: year $1,$ $$5,500$; year $2,$ $$7,500$; year

$3,$ $$9,500$; and year $4,$ $$12,500.$ An investor wants to earn a $12$ percent return compounded annually on her investment. How much should she pay for the investment? Assuming that the investor wanted to earn an annual rate of $12$ percent compounded monthly, how much would she pay for this investment? Why are these two amounts different? IN EXCEL