In the Moody's Analytics Portfolio Model,the Expected Return on a Loan

Multiple Choice

In the Moody's Analytics portfolio model,the expected return on a loan is the

A) annual all-in-spread minus the expected loss on the loan.
B) annual all-in-spread minus expected probability of the borrower defaulting over the next year.
C) annual all-in-spread minus the loss given default.
D) the interest and fees paid by the borrower minus the interest paid by the FI to fund the loan.