Question: Please help with Excel Formulas MPTS Excel Assignment The Blue Algae Mortgage Company has originated a pool containing 75 ten-year fixed rate mortgages with an

Please help with Excel Formulas  Please help with Excel Formulas MPTS Excel Assignment The Blue Algae

MPTS Excel Assignment The Blue Algae Mortgage Company has originated a pool containing 75 ten-year fixed rate mortgages with an average balance of $100,000 each with 1% origination fee. The annual interest rate on all loans in the pool is 12% and all loans require monthly payments. Initial Pool Balance Annual Interest Rate Maturity (years) Payments per year $ 7,500,000 12% 10 12000 Question 1: What price should Blue Algae obtain if the pool is sold immediately to an investor with a required annual return of 11% and no prepayment is expected? MPTS

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