Please show calculations of loan proceeds and cash flows.

Year 0 4.00% 1.00% 5.00% Year 1 4.00% 1.00% 5.00% Year 2 4.00% 1.00% 5.00% 3. Polaris Corporation is taking out a $5,000,000 two-year loan at a variable rate of LIBOR plus 1.00%. The LIBOR rate will be reset each year at an agreed upon date. The current LIBOR rate is 4.00% per year. The loan has an upfront fee of 2.00%. The table presents some of the expected cash flows (Year 0 is blank) concerning this loan: Loan Interest Rates LIBOR (Floating) Spread (Fixed) Total Interest Payable Interest Cash Flows on Loan LIBOR (Floating) Spread (Fixed) Total Interest Loan Proceeds (Repayment) Total Loan Cash Flows ($200,000) ($50,000) ($250,000 ($200,000) ($50,000) ($250,000) a) What is the all-in-cost of the Polaris loan including the LIBOR rate, fixed spread and upfront fee? b.) If LIBOR jumps to 5.00% immediately after the Year 1 payment, what will be Polaris's all-in-cost for the entire loan? Year 0 4.00% 1.00% 5.00% Year 1 4.00% 1.00% 5.00% Year 2 4.00% 1.00% 5.00% 3. Polaris Corporation is taking out a $5,000,000 two-year loan at a variable rate of LIBOR plus 1.00%. The LIBOR rate will be reset each year at an agreed upon date. The current LIBOR rate is 4.00% per year. The loan has an upfront fee of 2.00%. The table presents some of the expected cash flows (Year 0 is blank) concerning this loan: Loan Interest Rates LIBOR (Floating) Spread (Fixed) Total Interest Payable Interest Cash Flows on Loan LIBOR (Floating) Spread (Fixed) Total Interest Loan Proceeds (Repayment) Total Loan Cash Flows ($200,000) ($50,000) ($250,000 ($200,000) ($50,000) ($250,000) a) What is the all-in-cost of the Polaris loan including the LIBOR rate, fixed spread and upfront fee? b.) If LIBOR jumps to 5.00% immediately after the Year 1 payment, what will be Polaris's all-in-cost for the entire loan