Infrared extinction spectra of ammonia ice nanoparticles with radii between 2 and 10 nm show pronounced band shape variations depending on the conditions of particle formation by collisional cooling. We present experimental and theoretical evidence showing that the variations in the region of the nu2 (umbrella) fundamental are due to changes in the particle size. The effect is analyzed in terms of an explicit atomistic model of the particles' structure and vibrational dynamics. An explicit potential function combined with a novel extension of the vibrational exciton approach allows us to simulate extinction spectra for particles containing up to 16,000 atoms. It is shown that the particles formed under the conditions of our experiments consist of a crystalline core surrounded by an amorphous shell with an approximately constant thickness of 1-2 nm. For the nu2 fundamental, this shell gives rise to a broad band [full width at half maximum (FWHM) 72 cm(-1)] blueshifted by about 19 cm(-1) relative to a narrow peak (FWHM of 19 cm(-1)) which arises from the crystalline core.