5. Set up an amortization schedule for years 1 through 5 for Problem 4 showing annual mortgage payment amounts, yearly mortgage balances, principal, and interest for each year (total). (Do not do a monthly amortization schedule to answer this problem, but do assume monthly compounding. Hint: Multiply the monthly payment in Problem 4 times 12 to get total annual payments) (5 points) 6. Suppose that your required rate of return on a condo is 12 percent. You are shown one such property which has an asking price of $150,000. The sales representative shows you the following cash flow projections for a holding period of 6 years: Year (N) Cash flow $22,500 25,000 30,000 15,000 40,000 100,000 Should you buy the investment? Hint: use NPV and/or IRR to make the decision (4 points) 7. What would be your expected rate of return (like an IRR but for projections) in problem 67 (4 points) ..L-17 20 8. What is the net present value (NPV) of the duplex investment in Problem 6 if the asking price is $140,000 and your required rate of return is 12 percent? 10 percent? 15 percent? (4 points)