Consider an MPT with the following characteristics: Number of mortgages in the pool: 20 All 20 mortgages are fully amortizing 15 year FRM with monthly payments All mortgages have a 3% interest rate Average mortgage balance: $100,000 No prepayment is allowed on these mortgages There is a 0.5% servicing fee on the beginning of pool balance in each period What is the cash cow to investors in month 30? Answer it within 40mins,it would be helpful!!
Consider an MPT with the following characteristics: Number of mortgages in the pool: 20 All 20 mortgages are fully amortizing 15 year FRM with monthly payments All mortgages have a 3% interest rate Average mortgage balance: $100,000 No prepayment is allowed on these mortgages There is a 0.5% servicing fee on the beginning of pool balance in each period What is the cash cow to investors in month 30? Answer it within 40mins,it would be helpful!!
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Consider an MPT with the following characteristics:
- Number of mortgages in the pool: 20
- All 20 mortgages are fully amortizing 15 year FRM with monthly payments
- All mortgages have a 3% interest rate
- Average mortgage balance: $100,000
- No prepayment is allowed on these mortgages
- There is a 0.5% servicing fee on the beginning of pool balance in each period
What is the cash cow to investors in month 30?
Answer it within 40mins,it would be helpful!!
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