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2. (-/0.09 Points] DETAILS TANAPMATH7 4.3.018. MY NOTES Suppose payments will be made for 71...

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2. (-/0.09 Points] DETAILS TANAPMATH7 4.3.018. MY NOTES Suppose payments will be made for 71 years at the end of each month from an ordinary annuity earning interest at the rate of 3.75W/year compounded monthly. If the present value of the annuity is $48,000, what should be the size of each payment from the annuity? (Round your answer to the nearest cent.) Show My Work (Optional 3. [-10.09 Points] DETAILS TANAPMATH7 4.3.054. MY NOTES The Martinezes are planning to refinance their home. The outstanding balance on their original loan is 5175,000. Their finance company has offered them two options. (Assume there are no additional finance charges, Round your answers to the nearest cent.) Option A: A fixed-rate mortgage at an interest rate of 4.5%/year compounded monthly payable over a 25-year period in 300 equal monthly installments. Option B: A fixed-rate mortgage at an interest rate of 4.25%/year compounded monthly payable over a 12-year period in 144 equal monthly installments. (a) Find the monthly payment required to amortize each of these loans over the life of the loan. option A $ option B $ (b) How much interest would the Martinezes save if they chose the 12-year mortgage Instead of the 25-year mortgage? $ Show My Work (Optional

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