It is Jan 20XX. You plan to purchase a $1.2 million condominium with monthly maintenance fees of $300. You will place a downpayment of $400,000 for the condominium and finance the remainder with a 30-year housing loan, payable by monthly instalments. You are charged 4% per annum for the housing loan. (b) Suppose the monthly maintenance fee of $300 increases to $400 from the next year onwards. Calculate how much you will have paid for the first 2 years. Assume an EAR of 3% p.a. (5 marks) You are presented with what the loan company touts to be a very attractive loan proposition. Borrow $10,000 for 3 years at interest of 12% per annum with monthly repayments of $390.26. Compare this with the interest rate you are charged for the housing loan and comment on your results. (10 marks)