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Expiration Price Option The model allows users to calculate daily amortization amount using total number of amortization dates and amortization of the initial premium based on the specified amortization history. A new feature now allows users to specify an amortization history file, which is for cases when the customer changed the notional of the trade so that new daily amortization amounts should be applied In an amortization history file, if no daily amortization amount is specified for a particular amortization date, the most recent daily amortization amount should be used. An Expiration Price Option (EPO) is an option with a knock-out feature. At any time, if the option value is equal or less than a specified barrier price, the writer of the option will provide notification to the option holder. The option holder can either Pay an additional premium to prevent the option from knocking-out. The additional premium is equal to the difference between initial premium and the option value at the time of notification. Pay nothing to allow the option to be knocked out. The writer pays the option holder an amount equal to
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