Author Question: The primary risk of mortgage-backed securities is ________. A) that the prices of have high ... (Read 35 times)

CORALGRILL2014 · **on:** Jul 10, 2018

The primary risk of mortgage-backed securities is ________.

A) that the prices of have high volatility
B) that the prices of housing will increase
C) that the government will not be able to meet the guarantees on the cash flows
D) that homeowners may not be able to, or choose not to, repay their loans

Question 2

The range of the annual cash inflows for Project A is ________. (See Table 11.6)

A) 30,000
B) 10,000
C) 5,000
D) 0