Han and Leia have taken out an $800,000, 5 percent, 30 year mortgage to pay for their new home. The first monthly mortgage payment is due a month from today.

(a) How much is their monthly mortgage?

(b) Jabba offers the option of paying their mortgage for 5 years (first 60 payments) or $250,000 in rebate when they make their final payment. Which option should they take?