Five years ago, Diane secured a bank loan of $340,000 to help finance the purchase of a loft in the San Francisco Bay area. The term of the mortgage was 30 years, and the interest rate was 8%/year compounded monthly on the unpaid balance. Because the interest rate for a conventional 30-year home mortgage has now dropped to 4.5%/year compounded monthly, Diane is thinking of refinancing her property. (Round your answers to the nearest cent.) (a) What is Diane's current monthly mortgage payment? 1 2494.79 You may have rounded in the wrong direction. (b) What is Diane's current outstanding principal? 2 323236.28 Which annuity formula should you use to calculate her outstanding principal on the loan? Click the Read It link to review the concepts you need. (c) If Diane decides to refinance her property by securing a 30-year home mortgage loan in the amount of the current outstanding principal at the prevailing interest rate of 4.5%/year compounded monthly, what will be her monthly mortgage payment? $ 3 1621.13 What principal would Diane be taking a loan on if she chooses to refinance the remaining balance of her loan? Which formula should you use to calculate the necessary monthly payment to amortize that loan? Click the Read It link to review the concepts you need. (d) How much less will Diane's monthly mortgage payment be if she refinances? 4 567 What are you comparing between the two loans? Have you already calculated the monthly mortgage payment for each case? Click the Read It link to review the concepts you need.