In this case we have an ARM fixed for 6 years and adjust after the initial first 6 years every 2 years after. The basic idea behind a ARM is that the interest changes periodically, but since our ARM is fixed for 6 years, our going to calculate the monthly payment during the initial period using the formula:

where

is the monthly payment

is the amount

is the interest rate in decimal form

is the number years
First we need to convert our interest rate of 4% to decimal form by dividing it by 100%:

We also know from our question that

and

, so lets replace those values into our formula to find the monthly payment:


We can conclude that the monthly payment during the initial period is $1071.58<span />
1. incorrect
2. correct
3. incorrect (?)
Answer:
i don not know this. but I think
Step-by-step explanation:
Answer:
A. 2/3
Step-by-step explanation:
Plot the points, so you visualize rise/run.
When you start at the point (-3,8) it rises 2 then moves 3 to the right to get to the point (0,10). Then it rises 2 and moves 3 to the right to the point (3,12).