Well your first mistake is thinking that rotorburners will have something intelligent to add.
Given your restraint in only spending $10k of your windfall, I think you already have the money earmarked for something - but here is a list of what I would spend on for investing:
1. Education/qualifications - increase your ability to bring in more income. Hands down this is the best bet
2. Get rid of all unproductive debt. If the asset does not appreciate then it is useless debt. Avoid going into debt in the future for assets that don't appreciate
3. Your continued good health - Need any dental work done? Your teeth are not just for looks - they can contribute significantly to your overall health. Straight, white teeth will also mean that it is easier to get jobs/sales/ your way in life (entirely superficial, I know, but it would be the only cosmetic 'surgery' that is really worth your while) . Or you could spend up on getting rid of some bad lifestyle habits (i.e. psychologists etc). This way you get to enjoy yourself for the rest of your life, and have cheaper running costs
4. Shares or an index fund - better returns than a savings account, but way less work then setting up your own business (or renovating). Plus it is fun learning about the markets.
5. Charity - enough for you to wince a little - but not too much, probably around $1k at the very least (depending on how often you give). Giving to charity will definitely make you feel good for longer than some other ephemeral material purchases - like electronics etc. There are quite a few studies on this. If you are feeling entreprenurial then try
www.kiva.org and help others start up their own small businesses by giving low cost loans
Assuming you have a house already: I wouldn't kid myself about renovating the house that you own and live in. Unless you are going to sell the house soon then you wont get any investment gains out of the spend. Only renovate your house (that you live in) if it increases the amenity for you and your family (assuming you have one) or it makes it cheaper to run (like solar panels and insulation). And don't over capitalise - nobody buys a house because there is a media room. Your kitchen and bathroom spend should be around 2-3% of the house value each (5-6% together) - anymore is wasted money.
Starting your own business is easier said than done. It takes a while to find a good idea (hole in the market) that you can live with, because it takes a bit of effort to get a small business off the ground. Do a business course as most businesses that fail don't have a business plan. For this reason I can't really recommend a small business investment idea, as I don't know what your interests and skills lie.
