And then year 10, I pay the 100,000 plus I pay back the 1 million.

Let me do that in red.

I'm gonna go left, you're gonna go right, you understand me?

So what they do is out of this 10 , they pay them some of the basis points.

That will now compound over the next month.

Choice 3, I am going to pay you I'm making this up on the fly as I go I'm going to pay you 20 today.

So actually, let me do that.

Look,I only have 100 dollars, I have this customer, I'm doing thec atering for him this month.

So on day zero, you have a 200,000 loan.

I probably wouldn't have noticed if you hadn't pointed it out.

This tranche, they're going to get whatever is left over.

And you say, this group of the CDOs, they'll get the first payments. or if any payments that go, immediately go to this very senior tranche, right?

I'd like to pay the check, please.

I'll pay with travelers' checks.

And then I actually have to pay the 45,000 of interest that just goes out the door.

You're left with 500,000 of pre tax income.

On the contrary, passengers themselves must pay.

And like before, the bank gives me 1 million.

So this bank paid 1 billion for the right to get the interest and principal payment on those loans.

Use a real pen.

I'd like to pay with my credit card instead.

So it's a little bit more complicated than just saying, oh, look at that, they're giving a 6 coupon, which essentially means twice a year they're going to give me 3 of the value of my bond.

Because after you've paid your final payment, you're done paying off the house.

The IRS might consider that to be income

Mr Experimenter, I solved X problems. Give me X tokens.

Some of which is interest, some of which is principle, but it's the same amount you're going to pay every month to pay down that loan plus interest.

But just answer your question, in the event of your death your family does not see the savings portion, they only get this payout right over here.

So we've collectively borrowed 1 billion from the bank.

But in 1995, these people find five new families that go buy the house.

So he makes 2,000.

Try to cut back.

If you spent 62 dollars for a meal, the longer you take to pay out that loan, you see, over a period of time using the minimum payment it's 99 dollars and 17 cents.

You might want to watch the videos on present value.

I'd like to pay in cash.

I'd like to pay in cash.

But, Way? We pay every resident a 1000 ,

But in multi sided markets there might be users, but they're also might be very separate people who are payers.

Can I pay by credit card?

Can I pay with a credit card?

That will compound for one month.

So to live in this house, how much am I paying just in interest?

And the payments?

And then I'm going to pay you I don't know 35 in year 3.

So people are paying a discount to the number we just calculated.

You don't pay any mortgage payments.