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A 30-year ARM with 2 points ($100,000 note amount) is offered with an initial interest rate of 3.75% based on the 1-year Treasury Index that

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A 30-year ARM with 2 points ($100,000 note amount) is offered with an initial interest rate of 3.75% based on the 1-year Treasury Index that is currently at 6.57. The margin is 225 bp. and the composite rate will be rounded to the closest 1/8%. Annual interest rate cap is 2%, with a 6% lifetime ceiling (increase). What is the FTLAPR

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