You are currently living in Finland and enrolled in Masters degree program at the University of Vaasa. You will be graduating in two years. You want to buy a studio apartment five years after you graduate and that will cost 120,000 Euro. You dont want to take a home loan, thus willing to make a full payment at the time of purchase. Right now, you have 20,000 Euro in your saving account which was jointly opened by your parents when you were a kid. Once you graduate, you can work in a project and earn 30,000 Euro a year, with a 10% raise every year. You plan to live with your parents for the first two years after graduation, which will enable you to minimize your expenses and save 20,000 Euro each year for two years. The next three years, you will have to live on your own, thus you will be able to save only 25% of your annual salary. Assume that you will get 5% annual interest on your savings from salaries. (Hint: Draw a timeline that shows all the cash flows for years 0 through 7. Remember, you want to buy a house seven years from now and your first salary will be in year 3.) a. You think 5% annual interest is not going to help you much, so you are looking for an alternative investment tool for your 20000 Euro from the saving account. At what interest rate you need to invest the current saving accounts balance in order to achieve your goal? b. Suppose you will graduate with an excellent grade and your parents will put another 20000 in your saving account as a graduation gift. Do you still need to find an alternative investment source to reach your goal? c. What if you are not willing to work after your graduation and you are also not expecting any graduation gift from your parents, how many years will you have to wait for your initial saving to become 120,000 Euro at 5% annual interest rate?