You borrowed $150,000 to finance the purchase of a $165,000 home 5 years ago. The mortgage loan interest rate was 5%. You make monthly payments to amortize the loan over 20 years. A new lender offers to refinance the outstanding loan balance at 3% with monthly payments for 20 years. The new lender will charge two discount points on the loan. Other financing costs will be $5,000 The opportunity cost you think would be about 3%. a. What is the payment on the old loan? b. What is the current loan balance on the old loan? c. What is the monthly payment on the new loan? d. Should you refinance and why? State any assumptions you are making in your answers