Cash flow from the bond used to computed the cash flow yield

Assignment Help Financial Management

Reference no: EM131576542

1. A 10-year 100,000 dollar seasoned mortgage has contract rate of 9.5 (annual rate compounded monthly). The prepayment speed is 300 PSA. In one month, what is the cash flow from the bond used to computed the cash flow yield?

1834

1934

2034

2134

2. A five-tranche, sequential-pay $100 million CMO is secured by $100 million dollars of 10-year seasoned mortgage with a contract rate of 9.5 (annual rate compounded monthly). The prepayment speed is 300 PSA. Each tranche has a principal value of $20 million. In one month, based on the prepayment speed what is the cash flow to the A tranche (in millions of dollars)?

2.292

2.392

2.492

2.592

Reference no: EM131576542

Questions Cloud

What does she do for fun : You will face the challenges presented by your personal schema (mindlessness) selective perception, and undue influence by examining your perceptions.

State the hypotheses and do inference on correlation : State the hypotheses and do inference on correlation. Find the regression line of Y on X. Write down the regression line to predict Y from X.

Carry out a backward error analysis for the scalar product : Carry out a backward error analysis for the calculation of the scalar product s = a1b1 + a2b2 + . . . + anbn Redo the analysis under the assumption.

Components to consider for coverage : Your community may be a small town or a large city, or a county if you live in a rural area. Components to consider for coverage of your topic include:

Cash flow from the bond used to computed the cash flow yield : what is the cash flow from the bond used to computed the cash flow yield?

Explain what will make an appeal more persuasive : Describe when people are more likely to use the central route to persuasion, and when they are more likely to use the peripheral route

Important in the workplace : What is Active listening and why is it important in the workplace?

Financial development and economic growth : “Financial Development and Economic Growth” identify key issues that keep financial systems in developing and transition economies from operating efficiently.

Discuss how adaptive systems exist within your company : With reference to relevant literature and theory, discuss how adaptive systems exist within YOUR company's approach to strategic management

User Account

All Pages