a) You bought a home and secured a $650,000 mortgage with a variable closed rate of 1.5 percent. The rate can adjust on a quarterly basis based on market changes. What is the payment if you amortize the mortgage over 25 years?

b) You originally bought a home with a $650,000 mortgage and you chose the variable closed rate of 1.5 percent that your bank offered. You were just informed that the rate just increased to 2.5 percent as inflation has picked up. What is your monthly payment now?