Interstellar Bank currently has the following position in a 6-month (180-day) FRA contract, with a face value of $5 million: FRA rate = 10% p.a. Counterparty Interstellar Bank Market rate LIBOR On the FRA's settlement date, the market interest rate LIBOR is observed to be 8.5% (per annum). Calculate the settlement amount in dollar terms (show all your workings). (ii) Who is responsible for paying this settlement amount and why