Which of the Following Is NOT True of an R

question 84

Multiple Choice

Which of the following is NOT true of an R class CMO issue?

• A)It is treated as "garbage class."
• B)It is a high-risk investment class.
• C)It gives the investor the rights to the over-collateralization and reinvestment income on the cash flows in the CMO trust.
• D)Returns increase when interest rates increase.
• E)It has a positive duration.

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Definitions:

Subtotal

A calculation that provides a summary of numerical data before the final total is computed, often used in spreadsheets and reports.

Medium Date

A date format displaying the day, abbreviated month, and year, e.g., "01 Jan 2023".

SaleDate Field

A database field that stores the date on which a sale occurred, typically formatted as a date data type.

Format Property

A setting that determines the appearance of a control or field in a database application.