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Question
The value of an IO strip will most likely increase when:A. the PSA schedule rate decreases from 200 to 100.
B. market interest rates remain constant.
C. prepayments increase.
D. mortgage refinancings increase.
E. market interest rates decrease significantly.
Answer
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Related questions
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Which one of the following statements regarding an original issue $25,000 GNMA bond is correct?
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Q:
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