Question: 1 ) Create an amortization schedule based on the loan terms in the box ( including prepayment assumption ) ( 2 ) Calculate the weighted
Create an amortization schedule based on the loan terms in the box including prepayment assumption Calculate the weighted avg life WAL Calculate the price using a yield Does the addition of a prepayment assumption have a positive or negative effect on the price using a yield, why? Does the answer to number change if you use a yield? Why or why not?
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