1 Question 1 (3 marks) 2. Five years ago, Marcus bought a house. He secured a mortgage 3 from his bank for $200,000 The mortgage had monthly payments for 20 years with an interest rate of 6.0% compounded monthly. However, after five years, it is time to renegotiate the mortgage. Interest rates have fallen to 4.5% compounded monthly, and Marcus still intends to make monthly payments and to pay back the debt over the remaining 15 years. a) How much were Marcus' initial monthly Enter Answer payments? (1 mark) b) What is the outstanding principal on his Enter Answer mortgage? (1 mark) c) How much are Marcus' new monthly payments? (1 Enter Answer mark) 8 9. Complete your rough work (if any) in the space below. Enter your Final Answers Here 10 Part A R-006/12 = 0.005 11 Pvc (1/1) - 1/1(1+ryt) 12 Ex= ((1/0.005) - (1/0.005 1.005240/200 000) p1/0,005) - (1/0.005 1.0 14 15