Finance
A fully amortizing 30-year fixed-rate mortgage means:
AThe interest rate adjusts every 30 years
BMonthly payments are equal throughout the loan term and the loan is completely paid off at the end of the 30 years✓ Correct
CThere is a balloon payment at year 30
DThe borrower may pay interest-only for 30 years
Explanation
A fully amortizing mortgage has equal monthly payments that cover both principal and interest throughout the loan term, with the loan completely paid off by the last payment at the end of the term.
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