A loan officer presents two options: (a) a 20-year FRM of $1,200,000 at an interest rate of 8.875% annually with a brokerage fee of $15,500 (b) a 20-year FRM of $1,200,000 loan at an interest rate of 7.875% annually with a brokerage fee of $15,500 and 1 point in upfront fees. Both loans require monthly payments, and your firm anticipates paying off the loan at maturity. Which of the two options is the least costly one if you intend to prepay in 10 years? Multiple Choice Option A Option B A loan officer presents two options: (a) a 20-year FRM of $1,200,000 at an interest rate of 8.875% annually with a brokerage fee of $15,500 (b) a 20-year FRM of $1,200,000 loan at an interest rate of 7.875% annually with a brokerage fee of $15,500 and 1 point in upfront fees. Both loans require monthly payments, and your firm anticipates paying off the loan at maturity. Which of the two options is the least costly one if you intend to prepay in 10 years? Multiple Choice Option A Option B