Please answer problems 12&13. Please show all work for a thorough understanding. Handwriting MUST be LEGIBLE.

12. You are 25 years old and inherit $65,000 from your grandmother. If you wish to purchase a $100,000 boat to celebrate your 30th birthday, what compound annual rate of return must you earn? 13. An investment offers to pay you $10,000 a year for five years. If it costs $33,520, what will be your rate of return on the investment? 14. An investment costs $61,446 and offers a return of percent annually for ten years. What are the annual cash inflows anticipated from this investment? 15. You are offered $900 after five years or $150 a year for five years. If you can earn 6 percent on your funds, which offer will you accept? If you