Bank of America issues a MBS security based on a mortgage pool with the following terms: mortgage pool value,$25,000,000, mortgage interest rate, 6.5%, the mortgage loan terms, 3 years. Suppose that the MBS has only one class of security, i.e., this is the basic MBS discussed during the class. What is the price of this MBS if the market interest rate is 6%? Assume annual compounding as well as a constant annual prepayment rate of 10%. Also, assume prepayment is paid based on the outstanding loan amount at the beginning of each year.

A.	$25,208,906
B.	$25,345,980
C.	$26,203,871
D.	$26,348,450