You sold your lakeside cabin and provided seller$-$financing to the buyer through a $$200,000$ mortgage, which has a ten$-$year life, an $8\%$ interest rate and semi$-$annual mortgage payments.

a$)$ What is the amount of the mortgage payment you will receive each period?

b$)$ Assume the sale took place on January $1^{st},$ with the first two mortgage payments due on June ${30}^{th}$ and December ${31}^{st.}.$ When you file your tax return for the year of the sale, you must report your interest income on your IRS Form $1040.$ How much interest income will you need to report for the year of the sale? $($Hint: $-$ remember your middle$-$school math: $I=RPT$