If a Mortgage Pool Consists of Five 10% FRMs Totaling

question 5

Multiple Choice

If a mortgage pool consists of five 10% FRMs totaling $500,000,five 9% FRMs totaling $450,000,and ten 8% FRMs totaling $750,000,what is the weighted average coupon (WAC) rate?

• A)8.75%
• B)8.85%
• C)9.00%
• D)None of the above

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Definitions:

Situational Interview

A structured interview in which the interviewer describes a situation likely to arise on the job, then asks the candidate what he or she would do in that situation.

Nondirective Interview

An interview style where the interviewer poses open-ended questions and allows the interviewee to guide the conversation.

Open-ended Questions

Questions that cannot be answered with a simple 'yes' or 'no' response, encouraging detailed and thoughtful answers.

Panel Interview

Selection interview in which several members of the organization meet to interview each candidate.