The greater the prepayment rate for a mortgage pool, the Multiple Choice slower the payments to the holders of the bonds supported by the pool greater the decline in the bond principal for bonds supported by the pool greater the default risk longer the age of the mortgages held in the underlying pool lower the PSA benchmark rate

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The greater the prepayment rate for a mortgage pool, the: Multiple Choice slower the payments to the holders of the bonds supported by the pool.

The greater the prepayment rate for a mortgage pool, the:

Multiple Choice

slower the payments to the holders of the bonds supported by the pool.
greater the decline in the bond principal for bonds supported by the pool.
greater the default risk.
longer the age of the mortgages held in the underlying pool.
lower the PSA benchmark rate.

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