a) A borrower takes out a $500,000 loan maturing in 10 years to buy an apartment. After making installment payments for 3 years, the borrower faces financial difficulties and defaults with an outstanding balance left on the loan of $400,000. The bank forecloses on the apartment and is able to sell it for $350,000. Find the bank's Loss Given Default (LGD), and its expected loss. b) Before the loan was extended the bank assumed only a 50% probability of default based on internal analysis of similarly rated loans, using the same figures from part (a), find the bank's expected loss.