Individual Assignment Hard Stone Investment $($HSI$)$ banking division has decided to pool R$100$ millions of their Mortgage portfolio. The intention is to sell it up on the secondary mortgage market. The pool consists of $10$ loans of equal proportion. Four $(4)$ of the loans would mature in $1$ year while $6$ of the other loans would mature in year $2.$ HSI has decided to create $3$ Tranches of Investment Grade CMBS namely senior investment grade CMBS tranche A worth R$65$m$,$ junior Non$-$investment Grade CMBS tranche B worth R$35$ million. The investment bankers intend to create an X Tranche $($IO$)$ from the senior investment Grade CMBS Tranche A valued at R$100$M$.$ The coupons of each tranche are sold as follows: Tranche A: $7\%,$ Tranche B is $10\%.$ The weighted average coupon of the pool is $10\%.$ The quote price for the sale of the securities in each tranche is as follows: Tranche A would be sold at par at R$65,$ Tranche B would be sold at a discount of R$35\mathrm{.}00$ and Tranche X$($IO$)$ would be sold at R$100\mathrm{.}00.$ Tranche A has a credit support of $35\%$ while B has no credit support. Credit losses amount to R$8$ million in Year $2.$ Take YTM for Tranches A$,$ B and X$($IO$)$ as $7\%,11\%$ and $7\%$ respectively. Calculate: $1.$ the coupon of Tranche X $($IO$)2.$ the cash flows of each tranche in Year $1$ and Year $23.$ The Weighted Average Maturity of the Pool, Tranche A and Tranche B $4.$ the IRR of the CMBS and Mortgage Pool. $5.$ the IRR of each tranche based on the realized and scheduled cashflows. $6.$ the percentage value increase of the pool