At the beginning of the year, the long$-$term debt of Company $\backslash ($ X $\backslash )$ was $\backslash (\backslash$$ $3,500,000\backslash ).$ At the end of the year, long$-$term debt was $\backslash (\backslash$$ $3,200,000\backslash ).$ The interest paid was $\backslash (\backslash$$ $255,000\backslash ).$

Company Y has the following balances on the balance sheet:

The financial results of the company in $2024$ are as follows: Total sales is $\backslash (\backslash$$ $1,500,000\backslash )$ with costs of $\backslash (\backslash$$ $905,000\backslash ).$ Depreciation is $45,000$ and the tax rate is $34$ percent. The company does not have any interest expense. The company has paid $30\backslash \%$ of the net income to shareholders as dividend. In $2024,$ it has issued and sold $\backslash (\backslash$$ $10,000\backslash )$ worth of common stock.

Alimama Company would like to borrow $\backslash (\backslash$$ $8\backslash )$ million for an investment project. Hang Seng Bank is offering a loan of $\backslash (\backslash$$ $8\backslash )$ million with $\backslash (8\backslash \%\backslash )$ p$.$a$.$ interest rate. The loan is to be repaid by an equal payment at the end of each year for $6$ years.

A$.$ Calculate the annual amount Alimama Company will have to repay at the end of each year. $(6$ marks$)$

B$.$ ICBC is willing to lend the $\backslash (\backslash$$ $8\backslash )$ million loan to Alimama Company with interest rate of $\backslash (7\mathrm{.}80\backslash \%\backslash )$ p$.$a$.,$ but the interest will be compounded every three months. Calculate the EAR$\backslash \%$ offered by ICBC. Should Alimama Company borrow from ICBC instead of Hang Seng Bank. Explain your answer. $(4$ marks$)$

C$.$ Alimama Company is considering investment project $\backslash ($ X $\backslash ).$ The present value of the cash flows from investment project $\backslash ($ X $\backslash )$ is $\backslash (\backslash$$ $10,499,034\mathrm{.}70\backslash )$ when discounted at $\backslash (8\backslash \%\backslash )$ p$.$a$.$ The company expects to receive $\backslash (\backslash$$ $3\mathrm{.}4\backslash )$ million and $\backslash (\backslash$$ $4\mathrm{.}4\backslash )$ million from the investment project at the end of year $1$ and year $3$ respectively. Calculate the cash flow to be received at the end of year $2.(5$ marks$)$

D$.$ Alimama Company is also considering another investment project Y $.$ The project can generate a constant cash flow of $\backslash (\backslash$$ $300,000\backslash )$ at the end of each year forever. The Company's accountant calculated the present value of the cash flows from investment project $\backslash ($ Y $\backslash )$ to be $\backslash (\backslash$$ $3,750,000\backslash ).$ Calculate the discount rate the accountant used in his calculation. $(5$ marks$)$