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Moving to the next question prevents changes to this answer Question 35 10 points ! mestion 35 An interest-only ARM IS Madolor $200,000 for 30 years. The start rate is 5 percent and the borrower will make monthly interest-only payments for three years Payments there for must be suficient to fully amortize the loan at maturity a If the borrower makes interest only payments for three years, what will the payments ba? b Assume that at the end of year 3, the resetre is 6 percent The borrower must now make payments so as to fully amortize the loan What will the payments be? For the toolbar, press ALT+F 10 (PC) or ALT+FN+F10 (Mac) TTT Anal 3 (12) T.E.E.5. so Path 11. Moving to the next question prevents changes to this answer CUSE 2012 HUNDEROBOT Questo 38 stion 35 10 points San An interest-only ARM is made for $200,000 for 30 years. The start rate is 5 percent and the borrower will make monthly interest only payments for three years Payments there amortize the loan at maturity must be s ent to fully a If the borrower makes interest-only payments for three years what will the payments be? b. Assume that at the end of year 3, the reset rate is 6 percent. The borrower must now make payments so as to fully amortize the loan What wil the payments be? For the toolbar, pressALTF10 (PC) or ALT FN+F10 (Mac) TTT Anal (121) T. E. E. Pathop 40 2020424 Moving to the next question prevents changes to this answer 10 gee CPULER

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