QUESTIONS "Ann wants to buy an office building which costs $1,000,000. She obtains a 30 year partially amorising fixed rate mortgage with 100% LTV, an annual Interest rate of 7, with monthly compounding and monthly payments. The payment on the loan is 56,000 per month. Ann has a balloon payment due 5 years after she gets the loan. If Ann pays the required monthly payment for 5 years, how much is her balloon payment QUESTION 6 Ann wants to buy an office building which costs 51.000.000. She obtains a 30 yearfully amorting fixed rate mortgage with on LTV an annual interest rate of 4 with monthly compounding and monthly payments. The mortgage has a prepayment penalty the Borrower prepays in the fest 5 years, Suppose Ann makes the required monthly payment for 3 years and prepays after her final monthly payment at the end of 3 years. What is the annuale RR on Anns mortgage