Question: Below is a cash flow projection on a sequential-pay CMO, which has four tranches, A through D. Assume the four tranches get paid in the
Below is a cash flow projection on a sequential-pay CMO, which has four tranches, A through D. Assume the four tranches get paid in the order of A>B>CD. In this month tranche A has an outstanding balance of 80,000 and B has an outstanding balance of 43,000 . What is the principal payment towards tranche B in this month? Enter your answer in thousands of dollars, with no decimals. For example, if your answer is $40,000, then enter 40
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