Ms. Arwen who has just obtained her Financial Planner' certificate, has joined the Bank of Gondor as a Mortgage Officer Galadriel, her manager, who had received Ms. Arwen for a recruitment interview and who was amazed by her technical knowledge, asks her to assist her in a negotiation meeting concerning the financing of a commercial real estate complex that the Bank du Gondor, which Mr. Elrond, a long-time client of Ms. Galadriel, wants to acquire in order to take advantage of opportunities echoing the 2008 financial crisis. Wanting to test Ms. Arwen's knowledge of financial mathematics, Ms. Galadriel asks him to perform some calculations during the negotiation M. Elrond and Mrs. Galadriel have already agreed at an earlier meeting that the full amount of the transaction will be financed by the Bank of Gondor. It remains to determine the amount of the transaction and the financing conditions. During a meeting, Mrs. Galadriel provides Mrs. Arwen mortgage rate information, the current rates for same-risk mortgages discussed here are as follows: Period before rate renegotiation (n years) Interest rate (%) 6.5 7.65 88.75 The buyer's first offer is $ 75,000,000. This loan would be amortized over 25 years, but the rate would be renegotiated in four years, a) Calculate the amount of monthly payments to be made in this case and reached by Mrs. Arwen (The rate accepted by Elrond is the same as for comparable mortgages, i.e. 8%). b) Calculate the loan balance in three years that Ms. Anwen has arrived at c) Calculate the new annuity that Ms. Arwen arrived in four years, for mortgage rates up 100 basis points (1 basis point being equal to 1% of 1%)