Problem 20 A friend calls you with a great investment opportunity, that will produce a return to you of $2500 per year for 5 years starting at the end of the year 2 years from now, and $6500 the year after that. Assuming you could invest in an investment of similar risk eslewhere at an annual interest rate of 7.5%, what is the most you should be willing to pay for this investment? Problem 7 A company invests $1 million to clear land and plant pine trees. The trees will mature in 12 years and the company expects to sell them for $5 million. What will be its annual rate of return on this investment