They Saw in the Newspaper That They Can Get a Fixed

question 95

Multiple Choice

They saw in the newspaper that they can get a fixed rate mortgage for 6.65% or a two-year ARM with an initial rate of 5.50%.Which is true about their mortgage choices?

• A)The fixed-rate mortgage has an attractive rate but is more risky for them.
• B)The ARM initial rate is lower so their PITI will be lower.
• C)Due to Maria's job the ARM would be the better choice.
• D)Both B and C are correct.

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Definitions:

Candidates

Individuals who are considered or nominated for a position, office, or honor.

PACE

Program of All-Inclusive Care for the Elderly, a Medicare and Medicaid program aiming to provide comprehensive healthcare and services to elderly individuals to help them stay in their communities instead of moving to care facilities.

Whistle-Blowing

The act of exposing any kind of information or activity deemed illegal, unethical, or not correct within an organization by someone inside that organization.

Wrongdoing

Actions or behaviors that are illegal, unethical, or immoral, which may harm others or violate norms and standards.