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QUESTION 2 A CMO has 3 tranches, A, B, and Z (an accrual tranche), as well as a residual class. If the prepayment in the

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QUESTION 2 A CMO has 3 tranches, A, B, and Z (an accrual tranche), as well as a residual class. If the prepayment in the pool of mortgages that supports the CMO increases from CPR 5% to CPR 10%, what would happen to the expected maturity of the B class? O Remain the same Cannot be determined with the information given Decrease Increase

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