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In the United States, most fixed rate residential mortgages are prepayable at any time without penalty. Identify the following elements of this prepayment option: (i)

In the United States, most fixed rate residential mortgages are prepayable at any time without penalty. Identify the following elements of this prepayment option: (i) who sells the option, (ii) who buys the option, (iii) its strike price, (iv) weather it is a put or a call, and (v) whether it is European or American style in nature.

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