Assignment 2. E.J. just got a job from a research entity related to Purdue University. She is now considering whether to rent an apartment or to purchase a house. Because you are a sincere friend of E.J., she asked you which is the better choice. Here are some conditions: A. [Renting information] If it is a rent, E.J. wants to seek: (a) monthly payment as much as $1,200; (b) monthly renters insurance will be normally $9.00; (c) generally, most of apartment in Greater Lafayette area request the security deposit as much as $500; and (d) E.J. has a saving account at Purdue Federal Credit Union as much as $40,000 (See the interest rate of Purdue Federal: https://www.purduefed.com/Resources/Information/Rates/Deposit- Rates) B. [House information] If it is a case of purchasing a house, E.J. considers this conditions: (a) house price as much as $160,000; CSR342 2022 SP (b) she may pay for the down payment as much as 20% of the price because she has $40,000 in her savings account; (c) she is now considering 2 points paid (consult: https://bettermoneyhabits.bankofamerica.com/en/home-ownership/buying-mortgage- points-lower-rate); (d) closing costs are estimated as much as 4% of the house price (consult: https://www.investopedia.com/mortgage/mortgage-guide/closing-costs/); (e) E.J. has a good credit score as much as 750, therefore the APR of mortgage is now estimated as 3.5% for 20 years payment; (f) she is considering to have 20-years mortgage; (g) Annual property tax in Greater Lafayette is assumed to be same as the average rate with all other areas in Indiana (= 0.81%); (h) homeowners insurance premium is normally $30 per a month in Greater Lafayette area; (i) several houses that E.J. was visiting recently were 10 - 15 years old, therefore the repairing/maintenance expenses were following the average costs (consult: https://www.amfam.com/resources/articles/at-home/average-home-maintenance-costs); (j) annual percentage increase in home value was known to be 3.5%; (k) standard deduction for federal income taxes will be following the general (consult: https://smartasset.com/taxes/standard-deduction) and E.J. is single under 35; (I) E.J. will itemize deductions for federal income tax; and (m) E.J.'s marginal tax rate is 20%. [1] Compare the rent an apartment and the purchase of a house [no words limit] To compare the cases, utilize the excel file on Brightspace (Excel WorkSheet 6.5). You don't need to worry puting the exact numbers for each cell because this assignment does not require the correct answer. The purpose of the assignment is to let you practice actual calculation for your future life. [2] Give an advice to E.J. with your sincere thoughts [at least 100 words]. I will evaluate your sincere working on the advice