1. Pau is considering refinancing his mortgage. He has 240 months left on his current loan at 5% interest and his current principal balance is $467869. The new rate available to him is 3.5%. How much would Pau save on his monthly payments if he decides to refinance? State your answer as a positive number rounded to two decimal points (e.g. if the answer is $2345.123, write 2345.12)

2. Malika gets a monthly 30 year, 5/1 Adjustable Rate Mortgage for $950,000. The initial teaser rate of 2.75%, the interest then resets to 250 basis points above 1 year CMT. Malika calculates her initial payment to be $3,878.29. What will be her remaining loan balance right before the first interest rate reset (i.e. after she makes 60 payments)? State your answer as a positive number rounded to two decimal points (e.g. if the answer is $2345.123, write 2345.12)