London wants to make a $125 000 purchase. She makes a deposit of 15% and takes the remaining money as a loan. London has to repay the loan within 10 years at a 3% interest rate.

a) How much of a deposit does London make?

b) How much of a loan does London require?

c) Assuming simple interest, how much interest will London have paid on the loan at the end of 10 years?

d) Assuming yearly compounding interest, how much will London have paid on the loan at the end of 10 years?