Which of the Following Is a Disadvantage of PLAMs

question 10

Multiple Choice

Which of the following is a disadvantage of PLAMs?

• A)Lenders face high levels of interest rate risk under PLAMs.
• B)Fewer homebuyers are likely to qualify for financing using PLAMs in comparison to CPMs.
• C)The price level used to index PLAMs is measured on an ex post basis and historic prices may not be an accurate reflection of future price.
• D)All of the above.

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Definitions:

Human Violence

Acts of aggression and harm perpetrated by humans against one another, ranging from individual actions to large-scale conflicts.

State Society

A form of society characterized by a hierarchical and bureaucratic structure of government, maintaining authority over a specific territory and population.

Band Society

A small, kinship-based group of foragers who hunt and gather for a living over a particular territory.

Offenses

Acts that go against the law or rules, typically resulting in some form of legal or social sanction.