You Need a 30-Year Fixed-Rate Mortgage for $100,000,monthly Payments

Multiple Choice

You need a 30-year fixed-rate mortgage for $100,000,monthly payments.One lender offers 7.5% with no discount points while another lender offers 7.125% with some points.What amount of points on the second loan would give the loans the same APR?

A) no points necessary - the 30-year amortization will force the APRs to be equal
B) 3.65 points
C) 3.75 points
D) with different contracts rates these loans cannot have the same APR