1. A family purchased a property worth $650,000 in Toronto, Ontario this month. The bank requires loan to value ratio (LTV) of 80%, 25 year fixed rate mortgage with 3.5% interest per year compounded semi annual. a. Prepare monthly amortization table for this fixed rate, constant payment mortgage b. How much of the payment in 100th month is interest? How much is principal? What is the balance due at the end of 100th month. C. How much total interest will be paid at end of 25 year. How much is the ratio of total interest paid to loan at the end year 25. Discuss result. d. If they can afford $1500 payment per month, is the property within their means? Use Ms Excel Goal Seek to perform the analysis. Recommend property value that allows the family to pay $1500 per month. What is the amount of loan they can borrow