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21 What is the present value of a $14 million pool of 15-year mortgages with an 10.5 percent per year monthly mortgage coupon if market

21

What is the present value of a $14 million pool of 15-year mortgages with an 10.5 percent per year monthly mortgage coupon if market rates are 7 percent? The GNMA guarantee fee is 7 basis points and the FI servicing fee is 43 basis points. Assume that the GNMA pass-through is fully amortized

Select one:

a. $16,737,871

b. $17,837,854

c. $14,749,123

d. $150,422

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