Question: Answer the below questions. (a) What is the cash flow yield of a mortgage pass-through security? (b)What are the limitations of cash flow yield measures

Answer the below questions.
(a) What is the cash flow yield of a mortgage pass-through security?
(b)What are the limitations of cash flow yield measures for a mortgage pass-through security?

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a Given the projected cash flow and the price of a passthrough its yield can be calculated The yield ... View full answer

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