$11.$ The sum of the market values of all the classes of a CMO is greater than the total value of the GNMA pass$-$throughs backing the

CMO because

$$ the CMO has less credit risk than the pass$-$through.

$$ CMO investors can choose their degree of prepayment protection.

$$ the government guarantees CMOs' performance.

$$ CMOs have a more favorable tax status than pass$-$throughs.

$$ CMO investors have no prepayment risk.