Which of the Following Is NOT Characteristic of Commercial-Backed Mortgage

question 37

Multiple Choice

Which of the following is NOT characteristic of commercial-backed mortgage securities?

• A)The underlying mortgage pool represents a variety of different property types (retail,multifamily,etc.)and a specific geographical area
• B)The underlying mortgages have usually been outstanding for several years
• C)One of the primary issuers of such securities are insurance companies
• D)In general,the underlying mortgage pool for such securities contain fewer mortgages than are included in residential-backed mortgage pools

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Definitions:

Asset Account

An Asset Account is a financial record that tracks the value of a company’s tangible and intangible properties, like buildings, cash, or intellectual property.

Revenue Account

An account that tracks the income generated by a business from its normal operations.

Expense Account

An account used to track money spent or costs incurred in the operation of a business, helping in understanding and managing expenses.

Interest Payable

A liability account showing the amount of interest expense that has been incurred but not yet paid.