Compute and show step by step:

2. Exercise Two: Excelsior Capital wants to acquire a major infrastructure in Latin America. At the present time, the company has set aside 850 million (USD) to finance the project. To purchase the project, the company needs to have 5.25 billion (USD) in 4 years. To help finance the project, the company invests the full 850 million (USD) under monthly compounding.

(a) Assuming a nominal interest rate of 4.25%, how much should the company deposit as a fixed payment to reach the target price of 5.25 billion (USD) at the given tenor under Method 1 as shown in class?

(b) Verify your answers for part (a) by using Methods 2, and 3 respectively,

(c) use a Data Table to perform a Sensitivity Study showing the effects of an increase in both nominal interest rate, and Target price using arbitrary values as shown in class,

(d) create an Isometric Graph showing your results for part (c). (5 Points).