The next four questions are related to your purchase of your first home for $700,000. You have just purchased the house and have put a 20% down payment, and will borrow the remaining amount. The 30-year fixed rate loan has an Annual Percentage Rate (APR) of 2.875%. You will make monthly payments for the life of the loan. Assume that you make payments for one year. How much have you reduced the "principal balance" - that is, the amount that you owe on the loan? Select one: a. Less than $5,000 b. $10,000 to $15,000 C. $5,000 to $10,000 d. $15,000 to $20,000 e. More than $20,000 After one year, how much have you paid in interest? Select one: a. $15,000 to $20,000 b. Less than $5,000 c. More than $20,000 d. $10,000 to $15,000 e. $5,000 to $10,000