In a market where a typical constant payment mortgage $($CPM$)$ is going for $5\%$ annual rate, which of the following ARM is mostly likely to give borrower the "payment shock" after the teaser rate expires in $1$ year?

A$.5\%$ teaser rate, second year rate is subject to $1\%$ rate cap.

B$.5\%$ teaser rate, second year rate is subject to NO rate cap.

C$.0\mathrm{.}5\%$ teaser rate, second year rate is subject to $1\%$ rate cap.

D$.0\mathrm{.}5\%$ teaser rate, second year rate is subject to NO rate cap.

Cannot determine

Loan C

Loan B

Loan A

Loan D