Peter and his wife are planning to purchase a house priced at $8.5 million. They plan to borrow 80% of the total amount through mortgage loan provided by Bank A. The annual interest rate charged by Bank A is Prime rate minus 2% and they want to pay off the loan in 25 years. The first payment will be made one month after the borrowing. REQUIRED: (a) How much will be the monthly payment of them on the mortgage if the Prime rate offered by Bank A is 6%? (5 marks) (b) Under the internal stress-test policy of Bank A, the bank is not allowed to lend money to customer if the monthly mortgage payment is more than 50% of the monthly income of the borrower. Suppose the total monthly income of Peter and his wife is $60,000. Are they eligible to get the mortgage loan from the bank? If not, what can they do to obtain the loan from the bank successfully? Suggest TWO ways with explanations. (5 marks) (c) Assume that after 10 years, they plan to change the mortgage loan from Bank A to Bank B which will charge them fixed annual interest rate 5% throughout the loan period of 20 years. How much will be the new monthly mortgage payment that they need to repay to Bank B? (10 marks) (d) Please advise with explanations whether they should change the mortgage from Bank A to Bank B. (5 marks)