Please demonstrate the solution using specific Excel functions. Excel functions are required for the problem and I need help determining which ones to use.

Assume that a lender offers a 30 year, $150,000 ARM with the following terms:

Initial interest rate= 7.5%

Index= one year treasuries

Payments reset each year

Margin= 2%

Interest rate cap= 1% annually, 3% lifetime

Discount points= 2%

Fully amortizing, however negative amortization allowed if interest rate caps reached

Based on estimated forward rates, the index to which the ARM is tied is forecasted as follows:

Beginning of year 2= 7%

BOY 3= 8.5%

BOY 4= 9.5%

End Of Y 5= 11%

Compute the payments, loan balances, and field for the ARM for the 5 year period.

Please demonstrate the solution using specific Excel functions. Excel functions are required for the problem and I need help determining which ones to use.