medium · Asset-Backed Securities collateral
A credit-card master-trust series reports annualized portfolio yield of 18.5%, annualized servicing fee of 2.0%, annualized weighted-average bond coupon of 4.5%, and annualized net charge-offs of 6.0%, all measured on the same balance basis.
What annualized excess spread remains under the stated convention?
- 6.0%
- 0.0%
- 14.0%
- 12.0%
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