After graduation, Adrian moved across the country to Brownville and bought a small house for $208,000. Bill moved to Columbus and bought a house for $195,000. Four years later, they both sold their houses. Adrian netted $256,000 when she sold her house and Bill netted $168,000 on his.

1. What annual rate of return did Adrian realize on her house?

2. What annual rate of return did Bill realize on his house?

a.CALC:n = 4 r = ? PV = -$208,000 PMT = 0 FV = $256,000 r = 5.33%

b.CALC:n = 4 r = ? PV = -$195,000 PMT = 0 FV = $168,000 r = -3.66%