1. An account was opened with an investment of $2,000 10 years ago. The ending balance in the account is $3,500. If interest was compounded annually, what rate was earned on the account? Use the following to answer questions 2-4: You and your spouse have found your dream home. The selling price is $220,000; you will put $50,000 down and obtain a 30-year fixed-rate mortgage at 4.5% APR for the balance. 2. Assume that monthly payments begin in one month. What will each payment be? 3. How much interest will you pay (in dollars) over the lifetime of the loan? (Assume you make each of the required 360 payments on time.) 4. Your banker suggests that, rather than obtaining a 30-year mortgage, you should simply obtain a 15-year loan for the same amount. The rate on this loan is 3.75% APR. By how much will your monthly payment be (higher/lower) for the 15-year loan than the regular payment on the 30-year loan?