Section 1: Introduction/Background Find your dream house and describe it. For example, the location, size, price, character- istics, etc. My dream house is in the center of Guangzhou. It's 180 square meters. The price is about 15 million, with large balcony and kitchen, four rooms and a living room Section 2: Loan Repayment Schedule Assume that 10% of the price will be your initial installment and the remaining 90% will be borrowed from the bank. You decide to repay the loan by periodic monthly installments with 30 years at the nominal interest rate of 5%. In this section, you have to state clearly the following items: 1. What is the monthly installment? 2. Construct the repayment schedule with at least 10 payments. The ist, 10th, 40th and 360th payment must be included. Term Repayment Amount Principal Amount Interest Amount Outstanding Balance 1 10 40 360 3. Find the total interest you have paid for this loan. Section 3: Adjusted Interest Rate Based on the assumption in Section 2, the bank has adjusted the nominal monthly interest rate from 5% to 3% after your 40th payment. In this section, you have to state clearly the following items: 1. What is the new monthly installment for the remaining terms? 2. Construct the repayment schedule with at least 10 payments. The next 3 payments and 360th payment must be included. (Construct a similar table as in Section 2.) 3. Find the total interest you have paid for this loan. Hence, how much have you saved? Section 4: Extra payment Based on the assumption in Section 2, you plan to repay your loan amount with an extra payment at the 40th payment. (This extra payment is 10 times your monthly installment in Section 2.) In this section, you have to state clearly the following items: 1. What is the adjusted monthly installment for the remaining terms? 2. Construct the repayment schedule with at least 10 payments. The next 3 payments and 360th payment must be included. (Construct a similar table as in Section 2.) 3. Find the total interest you have paid for this loan. Hence, how much have you saved