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3. Suppose that the principal of a synthetic CDO is $125million. The equity, mezzanine, and senior principals are $10million, $25 million, and $90 million respectively.

3. Suppose that the principal of a synthetic CDO is $125million. The equity, mezzanine, and senior principals are $10million, $25 million, and $90 million respectively. Whichtranche(s) is responsib 2 answers

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