Question: 5. We are comparing the projected cash flows to different Tranche A's of the various CMOS described below. TRANCHE A Characteristics for Pool Characteristics CMO

 5. We are comparing the projected cash flows to different Tranche

5. We are comparing the projected cash flows to different Tranche A's of the various CMOS described below. TRANCHE A Characteristics for Pool Characteristics CMO 1 CMO 2 CMO 3 WAC 10% 9% 9.5% WAM 360 360 340 PSA 100 300 50 Coupon Rate 8% 8% 8% Tranche A Principal $200,000 $100,000 $200,000 Total Principal $300,000 $300,000 $300,000 Next to each repayment profile below, identify to which CMO the Tranche A belongs and explain your answer. Your response should read, for example, "First Tranche A is the Tranche A from CMO 2 because ... Seegnd Tranche A is the Tranche A from CMO 3 because ...' (10 points). FIRST TRANCHE A Tranche A Cash Flow Pattern $2.500 52.000 51500 $1000 3500 1 51 101 151 201 251 Timelapsed SECOND TRANCHE A Tranche A Cash Flow Pattern 33.000 $2.000 Monty Payment 51.500 11 000 5500 301 SO 51 101 151 201 251 Time lapsed THIRD TRANCHE A Tranche A Cash Flow Pattern 54.100 14.000 1300 53.000 $2.000 $1.500 $1.000 1500 10 51 101 151 201 351 5. We are comparing the projected cash flows to different Tranche A's of the various CMOS described below. TRANCHE A Characteristics for Pool Characteristics CMO 1 CMO 2 CMO 3 WAC 10% 9% 9.5% WAM 360 360 340 PSA 100 300 50 Coupon Rate 8% 8% 8% Tranche A Principal $200,000 $100,000 $200,000 Total Principal $300,000 $300,000 $300,000 Next to each repayment profile below, identify to which CMO the Tranche A belongs and explain your answer. Your response should read, for example, "First Tranche A is the Tranche A from CMO 2 because ... Seegnd Tranche A is the Tranche A from CMO 3 because ...' (10 points). FIRST TRANCHE A Tranche A Cash Flow Pattern $2.500 52.000 51500 $1000 3500 1 51 101 151 201 251 Timelapsed SECOND TRANCHE A Tranche A Cash Flow Pattern 33.000 $2.000 Monty Payment 51.500 11 000 5500 301 SO 51 101 151 201 251 Time lapsed THIRD TRANCHE A Tranche A Cash Flow Pattern 54.100 14.000 1300 53.000 $2.000 $1.500 $1.000 1500 10 51 101 151 201 351

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