The Bank of US has negotiated a plain vanilla swap with the Bank of EU with a notional principal of $10 million. Under the agreement, the Bank of US will pay fixed payments of 8 percent to the Bank of EU and receive floating payments equal to (U.S. dollar) LIBOR plus 2 percent from the Bank of EU at the end of each of the next five years. At the end of the 1^st year, the LIBOR is 9%. Which bank will pay which bank and how much? (show your work only for year 1) (2.5 points