Question
Question 10 (0.167 points) Saved LOAN 1 LOAN 2 LOAN 3 LOAN 4 Initial Interest Rate ? ? ? ? Loan Maturity (years) 20 20
Question 10 (0.167 points)
Saved
| LOAN 1 | LOAN 2 | LOAN 3 | LOAN 4 | |
|---|---|---|---|---|
| Initial Interest Rate | ? | ? | ? | ? |
| Loan Maturity (years) | 20 | 20 | 20 | 20 |
| % Margin Above Index | 3% | 3% | 3% | |
| Adjustment Interval | 1 year | 1 year | 1 year | |
| Points | 1% | 1% | 1% | 1% |
| Interest Rate Cap | NONE | 1%/year | 3%/year |
Which loan in the above table is an FRM
Saved
| LOAN 1 | LOAN 2 | LOAN 3 | LOAN 4 | |
|---|---|---|---|---|
| Initial Interest Rate | ? | ? | ? | ? |
| Loan Maturity (years) | 20 | 20 | 20 | 20 |
| % Margin Above Index | 3% | 3% | 3% | |
| Adjustment Interval | 1 year | 1 year | 1 year | |
| Points | 1% | 1% | 1% | 1% |
| Interest Rate Cap | NONE | 1%/year | 3%/year |
Which loan in the above table should have the lowest initial interest rate?
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Banking With Integrity The Winners Of The Financial Crisis
Authors: Dr Heiko Spitzeck , Dr Michael Pirson, Dierksme , Dr. Heiko Spitzeck , Prof. Claus Dierksmeier, Dr. Michael Pirson
1st Edition
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