$2.$ Mr$.$ and Mrs$.$ Spirit purchased a $$35,000$ house $20$ years ago. They took a $30-$year mortgage for $$30,000$ at a $3\%$ annual interest rate. Their bank, the First Amitvville National Bank, has recentl offered the Spirits two alternatives by which they could prepay their mortgage. The Spirits have just made their $20$th annualA Under the first alternative, the Spirits could prepay their mortgage at a $30\%$ discountfrom the current principal outstanding. If current $10-$year mortgage rates are $12\%,$ should the Spirits accept the offer? Ignore taxes and assume pavments are made at the end of each vear $($instead ofBI The second alternative would replace their existing mortgage with a five$-$vear zero$-$interesiloan, in the amount of their current mortgage's principal outstanding. This new loan was to be repaid in $5$ equal annual pavments. The banker pointed out that this option would "save them well over $$2000$ interest Which alternative. it either. should the svirits vursue.