QUESTION 13 A CMO has been issued with 3 tranches and a residual (the residual owns no principal at origination). At origination: - Tranche A investors own $6,000,000 of principal with a coupon rate of 3.50% Tranche investors own $4,000,000 of principal with a coupon rate of 3.70%. Tranche Z investors own $2,000,000 of principal with a coupon rate of 4.50%. The residual carries no principal and receives remaining payments. At origination, the mortgages backing the security issued are FRM with mortgage rate of 4.50% with 30 year maturities and MONTHLY payments. Assume no servicing/guarantee fee and no prepayments. Remember to adjust rates to monthly if necessary. Round your answers to cents. What is the mortgage pool's starting balance at origination? QUESTION 13 A CMO has been issued with 3 tranches and a residual (the residual owns no principal at origination. At origination - Tranche A investors own $6,000,000 of principal with a coupon rate of 3.50 - Tranche B investors own $4,000,000 of principal with a coupon rate of 3.70% - Tranche 2 investors own $2,000,000 of principal with a coupon rate of 4.50%. The residual carries no principal and receives remaining payments. At origination, the mortgages backing the security issued are FRM with more rate of 4.50% with 30 year maturities and MONTHLY payments. Assume no servicing/guarantee fee and no prepayments. Remember to adjust rates to monthly if necessary. Round your answers to cents. What is the mortgage pool's starting balance at origination? 12,000,000 QUESTION 13 A CMO has been issued with 3 tranches and a residual (the residual owns no principal at origination). At origination: - Tranche A investors own $6,000,000 of principal with a coupon rate of 3.50% Tranche investors own $4,000,000 of principal with a coupon rate of 3.70%. Tranche Z investors own $2,000,000 of principal with a coupon rate of 4.50%. The residual carries no principal and receives remaining payments. At origination, the mortgages backing the security issued are FRM with mortgage rate of 4.50% with 30 year maturities and MONTHLY payments. Assume no servicing/guarantee fee and no prepayments. Remember to adjust rates to monthly if necessary. Round your answers to cents. What is the mortgage pool's starting balance at origination? QUESTION 13 A CMO has been issued with 3 tranches and a residual (the residual owns no principal at origination. At origination - Tranche A investors own $6,000,000 of principal with a coupon rate of 3.50 - Tranche B investors own $4,000,000 of principal with a coupon rate of 3.70% - Tranche 2 investors own $2,000,000 of principal with a coupon rate of 4.50%. The residual carries no principal and receives remaining payments. At origination, the mortgages backing the security issued are FRM with more rate of 4.50% with 30 year maturities and MONTHLY payments. Assume no servicing/guarantee fee and no prepayments. Remember to adjust rates to monthly if necessary. Round your answers to cents. What is the mortgage pool's starting balance at origination? 12,000,000
