Jane rents ice skates at noon. The charges are $5.00 for the first hour, and $.50 per every quarter-hour thereafter. Her rental charges are $6.50. What time does she return the skates?

Let x be the number of quarter-hours Jane rents the skates after the first hour.

The total rental charges can be calculated as follows:
Total charges = $5.00 + $0.50 * x
$6.50 = $5.00 + $0.50x
$1.50 = $0.50x
x = 3

Since Jane rented the skates for 3 quarter-hours after the first hour, she returned the skates at noon + 1 hour + 3 * 15 minutes = 1:45 PM.