Task: Instance Description Understanding (ontology: Business_Finance/Financial_Industry_Business_Ontology)

Which of the following definitions best describes the instance 'graduated payment'?

A. a flexible payment loan where the payments increase for a specified period of time and then level off
B. a loan for which there are periodic payments/rate changes with additional specified principal and interest changes as documented in the Security Instruments.
C. A graduated payment loan in which increases in a borrowers loan payments are used to accelerate reduction of principal on the mortgage
D. a loan that allows the lender to periodically adjust the interest rate in accordance with a specified index

Answer: a flexible payment loan where the payments increase for a specified period of time and then level off