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ARM ( Adjustable Rate Mortgage ) can be constructed with many alternative provisions. Which of the following will have the lowest expected cost of borrowing?

ARM (Adjustable Rate Mortgage) can be constructed with many alternative provisions. Which of the following will have the lowest expected cost of borrowing?

An ARM with payment caps and negative amortization
An ARM with a longer adjustment interval
An ARM with no caps or limitations
An ARM with interest rate caps

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