please show the formulas you used in excel and for the numbers i have already filled in also.

Question 3 - Mortgage Refinancing II Suppose you purchased you first house 2 years ago and took out a mortgage for $160,000 with a 6.25% interest rate. The mortgage is a 30 year loan with monthly payments. Today you can refinance the loan at a 5.50% interest rate for a fixed fee of $5,000. Assume that you would only refinance enough to repay the old loan and the cost of refinancing. A - How much would you still owe on the loan after 2 years? Hint: Utilize the CUMPRINC formula here! Balance of old loan today $156,129.66 B - Calculate the amount of the new loan and monthly payments of each loan: Annual Rate Life (In Years) Cost 30 Total Loan Amount $ 160,000.00 $161,129.66 Monthly Payments $985.15 $914.88 P eriods Paid 24 0 Initial Loan Refinancing 6.25% 5.50% 30 $ 5,000 C- Would you refinance today? Old Loan New Loan PV (of monthly payments) NPV of Refinancing Refinance? D - Now, consider you are at the end of year 2, as is the case above, and you expect to move in 4 years time, would you want to refinance? Year Months 48 Time Till Move Old Loan New Loan Loan Balance at Move PV at move (consider balance and monthly payments) NPV of Refinancing Refinance? Question 3 - Mortgage Refinancing II Suppose you purchased you first house 2 years ago and took out a mortgage for $160,000 with a 6.25% interest rate. The mortgage is a 30 year loan with monthly payments. Today you can refinance the loan at a 5.50% interest rate for a fixed fee of $5,000. Assume that you would only refinance enough to repay the old loan and the cost of refinancing. A - How much would you still owe on the loan after 2 years? Hint: Utilize the CUMPRINC formula here! Balance of old loan today $156,129.66 B - Calculate the amount of the new loan and monthly payments of each loan: Annual Rate Life (In Years) Cost 30 Total Loan Amount $ 160,000.00 $161,129.66 Monthly Payments $985.15 $914.88 P eriods Paid 24 0 Initial Loan Refinancing 6.25% 5.50% 30 $ 5,000 C- Would you refinance today? Old Loan New Loan PV (of monthly payments) NPV of Refinancing Refinance? D - Now, consider you are at the end of year 2, as is the case above, and you expect to move in 4 years time, would you want to refinance? Year Months 48 Time Till Move Old Loan New Loan Loan Balance at Move PV at move (consider balance and monthly payments) NPV of Refinancing Refinance