3. Assume the following for a one-year adjustable rate mortgage loan that is tied to the one-year Treasury rate: Loan amount: $150,000, Annual rate cap: 1.5%; Life-of-loan cap: 5%; Margin:2.5%; First-year contract rate:4.50%; One-year Treasury rate at end of year 1:5.25%; Loan term in years: 20. Given these assumptions, calculate the following: (a)Initial monthly payment, (b) Loan balance end of year 1, (c) year 2 monthly payment, and (d) Loan balance end of year 2.