Twelve years ago, the Archer Corporation borrowed $$6,200,000.$ Since then, cumulative inflation has been $80$ percent $($a compound rate of approximately $5$ percent per year$).$

a$.$ When the firm repays the original $$6,200,000$ loan this year, what will be the effective purchasing power of the $$6,200,000?($Hint: Divide the loan amount by one plus cumulative inflation.$)$

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.

Effective purchasing power

b$.$ To maintain the original $$6,200,000$ purchasing power, how much should the lender be repaid? $($Hint: Multiply the loan amount by one plus cumulative inflation.$)$

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.

Loan repayment