Question: Answer the below questions. (a) What are the WAC and WAM of a pass-through security? (b) After origination of a mortgage-backed security, the WAM changes.

Answer the below questions.
(a) What are the WAC and WAM of a pass-through security?
(b) After origination of a mortgage-backed security, the WAM changes. What measures are used by Fannie Mae and Freddie Mac to describe the remaining term to maturity of the loans remaining in the loan pool?

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