Question: Question 23 4 points Save Answer A CMO has been issued with 3 tranches and a residual. At origination Tranche A investors own $55. million
Question 23 4 points Save Answer A CMO has been issued with 3 tranches and a residual. At origination Tranche A investors own $55. million of principal with a coupon rate of 3.50%. Tranche investors own 58 million of principal with a coupon rate of 3.70%. Tranchez inwestors, own 511 milion of principal with a coupon rate of 4.50% The residual carries $1 million and receives all residual payments. Mortgages backing the security isued are fully amortizing fixed rate with mortgage rate of 4.50% with 30 year maturities and monthly payments. Assume no servicing/guarantee fee and no prepayments. What is the mortgage pool's starting balance at origination Round your answers to cents es. If your answer is 556000.0444, write 56000.04) Question 23 4 points Save Answer A CMO has been issued with 3 tranches and a residual. At origination Tranche A investors own $55. million of principal with a coupon rate of 3.50%. Tranche investors own 58 million of principal with a coupon rate of 3.70%. Tranchez inwestors, own 511 milion of principal with a coupon rate of 4.50% The residual carries $1 million and receives all residual payments. Mortgages backing the security isued are fully amortizing fixed rate with mortgage rate of 4.50% with 30 year maturities and monthly payments. Assume no servicing/guarantee fee and no prepayments. What is the mortgage pool's starting balance at origination Round your answers to cents es. If your answer is 556000.0444, write 56000.04)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
