Question: ACMO is being issued with 2 tranches Tranche A has 523 million in principal and a 3.1% coupon. Tranche Bhas 514 million in principal and
ACMO is being issued with 2 tranches Tranche A has 523 million in principal and a 3.1% coupon. Tranche Bhas 514 million in principal and a 2.9% coupon The mortgages bacing the security issued are FRM at a mortgage rate of 6.6% with 10 year maturities and annual payments. There is no guarantee/servicer fee. Prepayment is assumed to be 5% CPR What is the starting pool balance for Tranche A investors in year 27 (Note same as the ending pool balance for Tranche A Investors sin year 17 Round your answer to two decimal points leg if your answer is 545,666.6666, write 45666.67)
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