1. Compute the required monthly payment on a $200,000, 25-year fixed-rate mortgage with a nominal interest rate of 6%. 2. Consider a 25-year fixed-rate mortgage for $600,000 at a nominal rate of 8%. What is the difference in required payments between a monthly payment and a bimonthly payment (payments made twice a month)? 3. Consider the following options available to a mortgage borrower: Loan Amount Interest Rate (%) Type of Mortgage Option 1 S150,000 30-year fixed Option 2 S120,000 30-year fixed 2 Option 3 S145,000 30-year fixed What is the effective annual rate for each option? Discount Points 6.35 1 6.42 6.05 3 4. Consider a 25-year fixed-rate mortgage for $250,000 at a nominal rate of 10%. If the borrower pays an additional $300 with each payment, how fast will the mortgage be paid off