1. A firm borrows $1,000, and the loan is to be repaid in three equal payments at the end of each of the next three years. The lender charges a 6 percent interest rate on the loan balance that is outstanding at the beginning of each year. Find the payment and also make the loan amortization schedule. [5] 2. Find the present values of the following cash flow streams. The appropriate interest rate is 8 percent. [5]