You buy a home for 300,000 and obtain an amortizing 30 year mortgage with equal monthly payments. The first payment is made one month from the date of the loan. The annual effective interest rate is 5%. Starting with the 100^th payment , you decide to add 500 to each payment so as to pay off your mortgage faster.

(a) How many payments will you make in total to pay off the loan ( this number includes the 99 payments you made earlier)

(b) What is the amount of the last payment?