Paul has been offered a contract through which he expects to generate the following stream of cash flows. Cash flows will occur at the end of the nominated years.

Time Cash flows

Year 0

Year 1 +$ 5,000

Year 2

Year 3 +$ 5,000

Year 4 - $ 2,500

Year 5 +$ 2,700

Year 6

Year 7

Year 8 $ 8,000

Year 9

Year 10 $20,000

Paul expects the market interest rates will be 2.5% per annum for the next 5 years, then it will increase to 5% per annum for the following three years (years 6 - 8) and will increase again in years 9 - 10 to 6% per annum. Assuming Paul's expectations regarding cash flows and interest rates are correct calculate the accumulated value of all these cash flows at each of the following times. (Show answers correct to the nearer cent.)

a. Today (Time0)

b. 6 years time (Time6)

c. 10 years time (Time10)