Amherst College decides to borrow $1 million in order to finance the construction of a facility to store their new mascot, a mammoth. The terms of the loan are as follows: Amount: $1,000,000 Coupon: 0% Maturity: 10 years after issuance Issue Date: April 15 On April 15, the issuance date, the market required rate of interest was 5%. Amherst does not want to pay interest until the final maturity of the bond. 1. Using the future value table provided on moodle, what will the face value of the note/bond be (i.e. the amount payable in 10 years time) in order for Amherst to receive proceeds of $1 million today? 2. If the market required rate of interest increases after Amherst has issued the bond, will the value of the bond increase or decrease