QUESTION 3: Naima Fazal a Commercial Banking Manager with EasyCredit Bank Limited has a current salary of $120,000 p.a. She owns a townhouse near Finch/Bayview, valued at $600,000. To finance the purchase of the townhouse she took a 25 year mortgage loan of $450,000 at 4% per year interest rate compounded semiannually. The annual property taxes are $5000. Recently she bought some appliances from Tasco Appliances for $24,000. The purchase was financed by borrowing $20,000 for 5 years at 6% per year interest rate compounded monthly. She also has $15,000 worth of landscaping done one year ago through Home Depot. Landscaping was financed by Home Depot with a 3 year $15,000 loan at 9% per year compounded monthly. All loans require monthly payments. She is thinking about buying a new car for $30,000. The current interest rate on a car loan is 6% per year compounded monthly for a 4 year term. Assume GDS and TDS ratios are 30% and 40% respectively. a. If she has to meet the standard bank lending tests, can she finance the entire purchase price of the car? b. How much is the minimum down payment she should make? QUESTION 3: Naima Fazal a Commercial Banking Manager with EasyCredit Bank Limited has a current salary of $120,000 p.a. She owns a townhouse near Finch/Bayview, valued at $600,000. To finance the purchase of the townhouse she took a 25 year mortgage loan of $450,000 at 4% per year interest rate compounded semiannually. The annual property taxes are $5000. Recently she bought some appliances from Tasco Appliances for $24,000. The purchase was financed by borrowing $20,000 for 5 years at 6% per year interest rate compounded monthly. She also has $15,000 worth of landscaping done one year ago through Home Depot. Landscaping was financed by Home Depot with a 3 year $15,000 loan at 9% per year compounded monthly. All loans require monthly payments. She is thinking about buying a new car for $30,000. The current interest rate on a car loan is 6% per year compounded monthly for a 4 year term. Assume GDS and TDS ratios are 30% and 40% respectively. a. If she has to meet the standard bank lending tests, can she finance the entire purchase price of the car? b. How much is the minimum down payment she should make