17.A borrower takes out a 30-year adjustable rate mortgage loan for $200,000 with monthly payments. The first two years of the loan have a "teaser" rate of 3%, after that, the rate can reset with a 2.5% annual rate cap. On the reset date, the composite rate is 6%. What would the Year 3 monthly payment be?

$1,118.41

$1,240.30

$1,100.20

$1300.00