Question 6 1 Assume you borrow an ARM of $120,000 for 30 years. Given initial interest rate=5%, margin-200 basis points, index rate a EOY1-6%, EOY2-4.5%, an annual rate cap=250 basis points, and the lender charges 3 points upfront, what is the monthly payment for year 2? 834.37 753.24 724.81 801.25 estion 7 ne you borrow an ARM of $120,000 for 30 years. Given initial interest rate=5%, margin=200 basis points, index