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An audit analyst is resolving Secondary Market Operations during an internal audit sample. Which action best fits the rule?

Correct Answer

C) Identify the correct secondary-market role

Secondary-market participants buy, guarantee, pool, or securitize loans under different roles. The best answer is "Identify the correct secondary-market role".

Answer Options
A
Apply a different loan-program rule without checking the file facts.
B
Apply the changed-circumstance timing rule even though the file is testing Secondary Market Operations.
C
Identify the correct secondary-market role
D
Use the same treatment for all mortgage products without comparing program requirements.

Why This Is the Correct Answer

Secondary-market participants buy, guarantee, pool, or securitize loans under different roles. The best answer is "Identify the correct secondary-market role".

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