You have taken out a %745,020 unrestricted ARM. The loan rate is set by the 1-year T-Bill plus a margin of 2.66%. At initiation, the 1-year T-Bill is yielding 3.40%. On the first reset date, the 1-year T-Bill is Yielding 5.29%. On the second reset date, the 1-year T-Bill is yielding 6.67%.

Calculate the payment that applies on the second reset date. the full term of this mortgage is 25 years.

Answer rating: 100% (QA)

To calculate the payment that applies on the second reset date we need to determine the n... View the full answer