You've decided to buy a house that is valued at $1 million. You have $150,000 to use as a down payment on the house, and you take out a mortgage for the rest. Your bank has approved your mortgage for the balance amount of $850,000 and is offering you a standard 30-year mortgage with 8% fixed nominal interest rate (called the annual percentage rate, or APR). According to this proposal, what will be your monthly mortgage payment?

a. $6,237.
b. $8,420.
c. $9,667.
d. $7,796