QUESTION FOUR A group of investors would like to purchase a property worth Kshs. 140 million. They are considering two financing alternatives. The first is an 80%, 30 year fixed rate mortgage at interest payable monthly. The second option is 70%, 30 year, fixed rate mortgage at 6% interest payable monthly. The lender will charge loan origination fees of 5% for both alternatives. The investors holding period is 30 years Required: Which of the two alternatives would you recommend? (25 marks)