Question: Construct an ABS (Senior tranche: 65%, mezz tranche: 25%) based on subprime car loans and a CDO (Senior tranche: 60%, mezz tranche 10%) based on

Construct an ABS (Senior tranche: 65%, mezz tranche: 25%) based on subprime car loans and a CDO (Senior tranche: 60%, mezz tranche 10%) based on this ABS mezzanine, represent this example of securitization graphically, and describe the flow of monthly payments (you can draw it with paper and pencil and then snap a pic or just use bullet points, whatever works for you).

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