Problem $17-4$ Calculating the Rate of Return on Investment Using Financial Leverage $[$LO$17-1]$

Suppose Shaan invested just $$13,000$ of his own money and had a $$117,000$ mortgage with an interest rate of $8\mathrm{.}5$ percent. After three

years, he sold the property for $$156,000.$

a$.$ What is his gross profit?

b$.$ What is his net profit or loss?

Note: Negative amount should be indicated by a minus sign.

c$.$ What is the rate of return on investment?

Note: Negative amount should be indicated by a minus sign. Enter your answer as a percent rounded to $1$ decimal place.