You just graduated, and you plan to work for 10 years and then leave for the Australian Outback bush country. You figure you can save $1,000 a year for the first 5 years and $2,000 a year for the next 5 years. These savings cash flows will start one year from now. In addition, your family has just given you a $5,000 graduation gift. You plan to put the gift now, and your future savings when they start, into an account which pays 8 percent compounded annually. How much money in total will you have when you are ready to leave for the Outback?

20,000

31,148

33,587

29,216