Question: Assume that you are considering purchasing a pass-through security, with the following characteristics. PSA 288 Principal Balance 25,000,000 WAC 5.400% Pass-Through Coupon 5.150% Regular Payment

Assume that you are considering purchasing a pass-through security, with the following characteristics.

PSA 288
Principal Balance 25,000,000
WAC 5.400%
Pass-Through Coupon 5.150%
Regular Payment 141,998.88
Original term 360
# of months remaining 350

The price of the bond is $24,500,000. In your first month of ownership, what is the prepayment?

Round your answer to the nearest dollar and DO NOT ROUND YOUR INTERMEDIATE CALCULATIONS.

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