A borrower and lender negotiate a $25,000,000 interest-only loan at an 8.0% interest rate for a term of 15 years. There is a 10-year lockout period. Should the borrower choose to prepay this loan at any time after the 10^th year, a yield maintenance fee (YMF) will be charged. The YMF will be calculated as follows: A treasury security with a maturity equal to the number of months remaining on the loan will be selected, to which a spread of 180 basis points (1.80%) will be added to determine the lender’s reinvestment rate. The penalty will be determined as the present value of the difference between the original loan rate and the lender’s reinvestment rate. If the loan is repaid at the end of the 12^th year, and 3-year treasury rates are 5.0%, what is the YMF?

		$797,795
		$341,336
		$547,229
		$633,272