Assets Cash/cash equivalents Checking account (25%) CP Savings account (3.25%) CP Total cash/cash equivalents Invested assets Certificate of deposit CP (5,5%, 2 year, matures 12/31/17) Saving bonds CP (Zero-coupon EE bonds) CP Mutual funds CP Stocks CP Section 401(k) plan vested balance Oune) CP IRA (Karl) CP Proprietorship in bar Rental property Cash value life insurance CP Total investments Liabilities and Net Worth Current Liabilities $ 5,200 Credit card balances (14.7%) 5 8,200 12,300 Carloan Jeep Grand Cherokee) 11,000 517,500 Total current liabilities 19,200 Long-term liabilities $ 5,000 Home mortgage $ 98,836 19.25% for 30 years) Total long-term liabilities $ 98,836 4,000 OOOOOOOO $118,036 18,800 13,600 31,331 TOTAL LIABILITIES 27,942 138,000 84,000 21,250 $343,923 NET WORTH $402,787 Personal use assets House (land has a FMV of $20,000) Jewelry (one diamond Jeep Grand Cherokee Baseball card collection Total personal use TOTAL ASSETS 5 5 5 $125,000 8,000 24,000 2,400 $159,400 $520,823 TOTAL LIABILITIES AND NET WORTH $520,823 Notes to financial statements Assets are stated at tar market value Liabilities are stated at principal only and are al community obligations The savings account is currently serving as the emergency fund Replacement values 5105,000 Current mortgage rates are 7.5% for 15 years and 8.0% for 30 years. Closing costs would be 3% of the amount financed and would be paid at closing. Do the Monroes qualify to refinance their mortgage? If they refinance, how much will they save over the life of the mortgage for a 15-year or 30-year mortgage? Which mortgage should they select