Question Two: Mortgage Repayment (Total 5 marks) Excel is required for this question. Your friend Susan has just bought a house for $1,300,000 with a 20% down payment and a 80% mortgage loan for 30 years at an annual interest rate of 5.95%, compounded monthly. She is scheduled to repay interest and principal every month over the loan period unless she sells the house at some point and fully pay off the loan. a. Use Excel to prepare a periodic loan amortization table for the entire loan period. The table should display the values for the columns as displayed in the table below. Make sure that the entire amortisation table is saved in the same Excel file that you will be submitting (only one Excel file for all questions - use one sheet per question). i. After you have completed the amortisation table in Excel, copy and paste the first six rows and last five rows of the amortisation table to the space indicated below. [Note: While only this answer template file will be marked, minus marks applies if evidence of formula input is not include in the amortisation table in the Excel file]. (3 marks) Present the table here: ii. Display below the formulae for calculating the Periodic (Annuity) Loan Payment, Interest Expense, Principal Repayment and Outstanding Loan Balance. (1 mark) Present the formulae as indicated below: - Periodic (Annuity) Loan Payment formula: Click here to enter text. - Interest Expense formula: Click here to enter text. - Principal Repayment formula: Click here to enter text. - Outstanding Loan Balance formula: Click here to enter text. b. In reference to relevant figures presented in your answer table above, discuss the trend of amount of periodic (annuity) loan payment, interest expense and principal repayment and outstanding loan balance over this time period. Use relevant figures to illustrate whether the interest expense and principal repayment are increasing or decreasing over time. State and interpret the final outstanding loan balance at the end of the entire loan period. [Word limit: 100 words (excluding numbers). Answers beyond the word limit will not be marked.] (1 mark)