You're purchasing a home which is listed at $$400,000.$ You plan to make a downpayment of $10\%$ of the home's value $($$$40,000)$and securing a mortgage to cover the remainingprincipal and closing cost. The mortgage, offered by Chase, is for $30$ years and carries an interestrate of $7\mathrm{.}75\%,$ with payments due monthly. Additionally, your mortgage entails a one$-$timeclosing cost $($appraisal fees, title insurance, etc.$)$equivalent to $5\%$ of the mortgage value.Part A:$1)$ What would be the total value of your mortgage that you need to get from Chase?$2)$ What would be your monthly payment?$3)$ How much is the total value of the interest you pay for your mortgage on top of theprincipal?$4)$ How would the results for parts $1-3$ change if you decide to make a down payment of$20\%$ of the homes value?Part B:Assume after $10$ years, Federal Reserve implements a new policy to stimulate economicgrowth by lowering interest rate. As a result, you explore the option of refinancing yourmortgage to secure a more favorable rate. PNC Bank offers you $6\%$ interest rate, however therefinancing cost and closing cost $($one$-$time payment$)$ together would be now $7\%$ of the value ofyour new mortgage. Will you accept the offer and refinance your mortgage?To determine whether you should accept this offer and refinance your mortgage, answerto the following questions:$5)$ How much is the remaining principal from your original mortgage at year $10?6)$ How much would be the total amount you need to refinance with your new mortgage $($theremaining principal of your original mortgage plus$7\%$ one$-$time payment$)7)$ What would be your monthly payment for the next $20$ years with $6\%$ interest rate?$8)$ Compare the answer in part $(7)$ vs$.$ part $(1).$Will you be willing to refinance your