To determine the total monthly payments for the proposed alternative to rent, we need to calculate the monthly mortgage payments for the loan that Naresh Jain would take out to buy the apartment. We can use the annual loan amortization schedule provided in Exhibit 1 to calculate the monthly payments.

First, we need to calculate the total interest paid over the life of the loan. This can be done by summing up the interest payments for each year:

Total interest = ₹1,017,605 + ₹1,000,373 + ₹981,289 + … + ₹62,876 Total interest = ₹10,025,947

Next, we need to calculate the total amount repaid over the life of the loan, which is the loan amount plus the total interest:

Total amount repaid = ₹10,000,000 + ₹10,025,947 Total amount repaid = ₹20,025,947

Finally, we can calculate the monthly mortgage payments using the PMT function in Excel:

PMT(10.25%/12, 20*12, -10000000)

This gives us a monthly mortgage payment of ₹103,125.

Adding the other home ownership costs, we get the total monthly payments for buying the apartment:

Total monthly payments = ₹103,125 + ₹10,000/12 + ₹1,000 + ₹1,000 + ₹10,417 Total monthly payments = ₹115,542

Therefore, the total monthly payments for the proposed alternative to rent is ₹115,542.