A mortgage for a condominium had a principal balance of $44,300 that had to be amortized over the remaining period of 5 years. The interest rate was fixed at 5.02% compounded semi-annually and payments were made monthly.

a. Calculate the size of the payments.

Round up to the next whole number

b. If the monthly payments were set at $986, by how much would the time period of the mortgage shorten?

year(s)

months

c. If the monthly payments were set at $986, calculate the size of the final payment.