Now that they have accumulated a deposit of $60,000, Ed and his partner Susie wish to use the deposit and take out a housing loan to purchase a home. The house costs $725,000. The loan is to be repaid in equal monthlyinstalments over a term of 30 years. Ed recalls that the interest rate quoted by the bank is an annual effective rate of 5.5%pa.Ed has misplaced the paperwork showing the annual nominal rate (j₁₂), so you may need to work this out. Interest is added monthly. They would like to know:

How much is the monthly repayment?

How much interest will be paid in the third year?

How much would Ed and Susie owe the bank immediately aftermaking the 140^threpayment?

Provide Ed and Susie with a repayment schedule using excel.