Assume you are buying a 3-bedroom house. You consider borrowing $400,000 from a bank at a rate of…

Assume you are buying a 3-bedroom house. You consider
borrowing $400,000 from a bank at a rate of 3.6% per annum (compounds monthly)
for 30 years. What will be your monthly loan repayment if you have a balloon
payment of $60,000 and make the loan payments at the end of each month?

Present your answer as a
whole number to two decimals (including the $ symbol) and a positive value,
e.g. $3210.65 (25% marks will be deducted if the $ symbol is not provided).

Assume a preferred stock pays dividends at the
rate of 6% with the face value of $100. The appropriate required rate of return
is 7%. What is the value today of a share of this stock?

Present your answer as a whole number to two decimals (including the $
symbol), e.g. $87.65 (25% marks will be deducted if the $ symbol is not
provided).