When an Interest-Only Swap Is Established on an Amortizing Basis

Multiple Choice

When an interest-only swap is established on an amortizing basis

A) the debt service exchanges decrease periodically through time as the hypothetical notational principal is amortized.
B) the debt service exchanges are the same each year, but the level of interest and principal changes as the loans amortize.
C) there is no such thing as an amortizing interest-only swap.
D) none of the above