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The Cash Flow of a Mortgage Pass-Through Security ________

Question 8

Multiple Choice

The cash flow of a mortgage pass-through security ________.


A) consists of monthly mortgage payments representing interest and the scheduled repayment of principal, but not on any prepayments.
B) is more than the monthly cash flow of the underlying mortgages by an amount equal to servicing and other fees.
C) depends on the cash flow of the underlying mortgages.
D) All of these

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