Part $1$ Pasadena Healthcare has borrowed $$1,000,000$ on a five$-$year, annual payment term load at a $15$ percent rate. The first payment is due one year from now. Construct the amortization schedule for this loan.

Part $2$

Find the following values assuming a regular, or ordinary, annuity:

$2\mathrm{.}1.$ The percent value of $$400$ per year for ten years at $10\%$

$2\mathrm{.}2.$ The future value of $$400$ per year for ten years at $10\%$

$2\mathrm{.}3.$ The present value of $$200$ per year for five years at $5\%$

$2\mathrm{.}4.$ The future value of $$200$ per year for five years at $5\%$

$2\mathrm{.}5.$ Repeat problems $2\mathrm{.}1.$ through $2\mathrm{.}4,$ but assume the annuities are annuities due.

Part $3$

Discuss why the concept of time value of money is important to long$-$term project decisions. Can you give examples from your own experience?