1. You are interested in buying a new house in Berlin. The price of the house is 1.2 million Euros. The interest rate on the mortgage is 0.8% per year, the length of the loan is 30 years, and the bank asks for a minimum of 20% down payment. Your current monthly salary is 8,000 Euros per month. However, the bank will only provide the loan if the monthly payments do not exceed 35% of your monthly salary. a. What is the monthly payment of this loan? Will you be able to afford this loan? ( 8 points) b. The bank tells you to increase the down payment in order to reduce the monthly payments to 35% of your salary. How much do you have to increase the down payment such that you can afford this loan? (8 points) c. How much interest will you have paid at the end of the maturity. ( 5 points) d. After 10 years, you receive an inheritance and would like to repay your loan. How much money do you need to pay to the bank at that point to fully retire the mortgage? ( 7 points)