You have just negotiated a 5-year mortgage on $318,400amortized over 25years at a rate of 2.29% per year compounded semiannually.

a) What are the monthly payments?

b) What are the principal and interest payments each month for the first two months?

c) What is the outstanding principal at the end of the first 5 years?

d) Assume that at the end of the 5-year contract your remaining outstanding principal is $250,000. The interest rate on your mortgage is still 2.29% per year compounded semiannually, but you decide to switch to weekly payments (52 weeks per year). What is the amount of your weekly payment?

e)Now say your mortgage contract allows you to make a larger weekly payment, and you choose to pay $400per week. How many years will it take to pay off the rest of your mortgage? (All other information is the same as part)