IIA
IIA-CFSA · Question #276
IF a securitization transaction meets FAS 125 sale or servicing criteria, the seller must recognize any gain or loss on the sale of the pool immediately and carry any retained interests in the…
The correct answer is B. Fair value. See the full explanation below for the reasoning.
Question
IF a securitization transaction meets FAS 125 sale or servicing criteria, the seller must recognize any gain or loss on the sale of the pool immediately and carry any retained interests in the assets sold ( including servicing rights/obligation and interest-only strips) at ____________.
Options
- APrincipal value
- BFair value
- CPremium Amount
- DBoth A&C
How the community answered
(44 responses)- A14% (6)
- B77% (34)
- C5% (2)
- D5% (2)
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