A five$-$year credit default swap entered into on April $20,2015,$ requires quarterly

payments at the rate of $100$ basis points per year. The principal is $$10$ million. A default

occurs after one years and $3$ months. The auction process finds the price of the cheapest

deliverable bond to be $40\%$ of its face value. List the cash flows and their timing for

the seller of the credit default swap.