Using EXCEL: Create an amortization schedule to answer the following questions for a $600,000 15-year PLAM loan that is fully-amortizing. The contract interest rate is 5.4% with monthly payments. The inflation rate is 7% for the first 5 years, 6% for years 6 to 10, and 5% for the final 5 years. There are no upfront origination fees, points, or prepayment penalties. Create an amortization schedule to answer the following questions for a $600,000 15-year PLAM loan that is fully-amortizing. The contract interest rate is 5.4% with monthly payments. The inflation rate is 7% for the first 5 years, 6% for years 6 to 10, and 5% for the final 5 years. There are no upfront origination fees, points, or prepayment penalties.

3.) Price Level Adjusted Mortgage Create an amortization schedule to answer the following questions for a $600,000 15-year PLAM loan that is fully-amortizing. The contract interest rate is 5.4% with monthly payments. The inflation rate is 7% for the first 5 years, 6% for years 6 to 10, and 5% for the final 5 years. There are no upfront origination fees, points, or prepayment penalties a) What is the EIR if held to maturity based on the given inflation rates? b) Assuming no upfront fees/points or prepayment penalty, what is the EIR if the mortgage is prepaid in full at the end of year 12? Assume you must pay the adjusted mortgage balance when prepaying c) Assuming 1 point in origination fees and a 2% prepayment penalty, what is the EIR if the mortgage is prepaid in full at the end of year 12? Assume you must pay the adjusted mortgage balance when prepaying