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Q. Nora and Jed borrow $700,000 from Your Bank to purchase a house near the lake and they (Nora and Jed) give a mortgage to Your Bank as collateral in order to secure the loan. Nora and Jed prove to be poor money managers and thereafter default on their loan to Your Bank. Your Bank begins foreclosure proceedings and proceeds to sell the home at a judicial sale. Paul and Penelope fall in love with the house and purchase it for $850,000. Illustrate what if anything must Your Bank remit to Nora and Jed?
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