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ACMO has been issued with 3 tranches and a residual. At orgination - Tranche A investors own 573 million or principal with a coupon rate
ACMO has been issued with 3 tranches and a residual. At orgination - Tranche A investors own 573 million or principal with a coupon rate of 2.50% Tranche investors own $32 million of principal with a coupon rate of 3.70% - Tranche investors own 58 million of principal with a coupon rate of 450% The residual carries 51 million and receives all residual payments. Mortrages backing the security issued are fuo amortizing fed rate with mortgage rate of 4.50% with 3 year maturies and monthly payments. Assume no servicing/guarantee tee and no prepayments. What is the endine balance on the B-tranche at the end of the first month same as the beginning balance in the second month Round your amwers to two decimal points (eg, if your answer is 5560000444, write 56000.04
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