Question: Assume that after the first 5 months, there is a principal balance of $98,500,000 remaining in the mortgage pool. In the 6th month, $250,000 of

Assume that after the first 5 months, there is a principal balance of $98,500,000 remaining in the mortgage pool.

In the 6th month, $250,000 of principal will be paid down. Assuming a PSA of 150, what will prepayments be?

b. For the problem above, what will be the principal balance at the beginning of the 7th month?

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a Prepayments will be 375000 b Principal balance at the beginning of the 7th month will be ... View full answer

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