You expect to receive a one-time payment of $1,000 in 10 years and the second payment of $1,500 in 15 years. The annual interest rate is 9%.

Part 1

What is the present value of the combined cash flows?

Part 2

If you invest the amount that you'll receive in 10 years and include the cash flow in year 15, how much money will you have in year 15?

Part 3

If you invest the amount found in part 1 for 10 years, how much will you have at the end?

Part 4

If you invest the amount found in part 3 for another 5 years, how much will you have at the end?