A car dealership network securitises car loans taken out by customers. The car loans are sold to a bankruptcy$-$remote special purpose entity which then issues asset backed securities $($ABS$)$ backed by the pool of loans, The ABS has the following structure:Senior TrancheSubordinate Tranche $1$Subordinate Tranche $2$$$220$ million$$50$ million$$30$ millionThe value of the collateral for the structure is $$320$ million. Subordinate Tranche $2$ is the first loss tranche.$($a$)($b$)($c$)($d$)$What is meant by the term 'bankruptcy$-$remote'?How much is the overcollateralization in this structure?What is the amount of the loss for each tranche if losses due to default over the life of the structure total:$($i$)($fi$)($iti$)($iv$)$$$15$ million$$35$ million$$85$ million$$110$ million?Why is Subordinate Tranche $1$ likely to carry a higher coupon or have a lower credit rating than the Senior Tranche?