A man repays a loan of 200,000 by making level monthly payment in arears over a 15 year term. The bank charges a nominal interest rate of 5% p.a. convertible monthly. a) Show that the amount of each monthly repayment is 1581.59. [2] b) Use the Prospective Method to calculate the loan outstanding immediately after the 60th repayment is made. c) Use the Retrospective method to calculate the loan outstanding immediately after the 120th repayment is made. d) Calculate the total interest paid and total capital paid between 60th and 120th repayments inclusive. e) The man makes a single repayment of 43,809 at end of year 10. Calculate the reduction of term in years due to this repayment.