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Assume that we have 2 . 7 5 % pass - through MBS with two mortgage loans. Suppose that Loan A is for $ 1
Assume that we have passthrough MBS with two mortgage
loans. Suppose that Loan A is for $ and Loan B is for $ If
Loan A has a mortgage rate of and Loan B has a mortgage rate of
both rates net of servicing and Gfees what is the WAC of
the passthrough MBS
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