Bob borrows $15,000 for eight years. He decides to repay the loan according to sinking fund method and to make fixed semiannual payments of $1,300. The lender receives 10% interest convertible semiannually for the first four years and 8% interest convertible semiannually for the last four years. On the other hand, the sinking fund earns 9% convertible semiannually. Find the amount by which the sinking fund is short of repaying the loan at the end of the eight years. (Answer: $1,097.36) Show all calculations and do not use a table.