1. Suppose you are going to receive $7,800 per year for 5 years. The appropriate discount rate is 7%. What is the present value of the payments if they are in the form of an ordinary annuity? What is the present value of the payments if they are in the form of an annuity due? 2. What is the value today of $4,400 per year at a discount rate of 9% if the first payment is received 8 years from today and the last payment is received 25 years from today? 3. On January 1, Houston Company issued a bond with a face value of $10,000 and a coupon rate of 5%. The bond matures in 3 years and pays interest every December 31, When the bord was issued, the annual market rate of interest was 4%. Houston uses the effective-interest amortization method. Required: 1. Complete a bond amortization schedule for all three years of the bond's life. 2. What amounts will be reported on the Income Statement and Balance Sheet at the end of Year 1 and Year 2