Question: 2.We are comparing the projected cash flows to different Tranche A's of the various CMOs described below. TRANCHE A Characteristics for Pool Characteristics WAC CMO
2.We are comparing the projected cash flows to different Tranche A's of the various CMOs described below. TRANCHE A Characteristics for Pool Characteristics WAC CMO 2 3 1 9.5% 10% 360 340 WAM PSA 360 100 300 50 Coupon Rate | 890 Tranche A Principal Total Principal $300,000 $300,000 $300,000 $200,000 $100,000 S200,000 Next to each repayment profile below, identify to which CMO the Tranche A belongs and explain your answer. ( 15 points) Tranche A :5101 151d 301 301 1 Tranche A Cash Flow Pattern 2.000 so 1 51101 151 201251 301 1 Time Elapsed Tranche A Cash Flow Pattern $4.500 $4.000 $3.500 $3,000 $2.500 $2000 $1.500 $1,000 5500 1 50 1 51 101 151 201 251 301 351 Time Elapsed 2.We are comparing the projected cash flows to different Tranche A's of the various CMOs described below. TRANCHE A Characteristics for Pool Characteristics WAC CMO 2 3 1 9.5% 10% 360 340 WAM PSA 360 100 300 50 Coupon Rate | 890 Tranche A Principal Total Principal $300,000 $300,000 $300,000 $200,000 $100,000 S200,000 Next to each repayment profile below, identify to which CMO the Tranche A belongs and explain your answer. ( 15 points) Tranche A :5101 151d 301 301 1 Tranche A Cash Flow Pattern 2.000 so 1 51101 151 201251 301 1 Time Elapsed Tranche A Cash Flow Pattern $4.500 $4.000 $3.500 $3,000 $2.500 $2000 $1.500 $1,000 5500 1 50 1 51 101 151 201 251 301 351 Time Elapsed
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