Consider the following uneven cash flow stream: (Hint: Drawing a timeline may help.)

Year Cash Flow

Year 0 (Today) $2,000

Year 1 2,000

Year 2 0

Year 3 1,500

Year 4 2,500

Year 5 4,000

What is the present value (Year 0) of the cash flow stream if the opportunity cost is 10%? Show your work

Consider the following uneven cash flow stream. What is the future value (Year 5) of the cash flow stream if the cash flows are invested in an account that pays 10% annually? Show your work.