A floating for floating currency swap is equivalent to

A. Two interest rate swaps, one in each currency
B. A fixed-for-fixed currency swap and one interest rate swap
C. A fixed-for-fixed currency swap and two interest rate swaps, one in each currency
D. None of the above


C

A floating-for-floating currency swap where the currency paid is X and the currency received is Y is equivalent to (a) a fixed-for-fixed currency swap where, say, 5% in currency X is paid and say, say, 4% in currency Y is received, (b) a regular interest rate swap where 5% in currency X is received and floating in currency X is paid and (c) a regular interest rate swap where 4% in currency Y is paid and floating in currency Y is received.

Business

You might also like to view...

The cognitive component of attitude matches the hierarchy of effects model's components of:

A) awareness and knowledge B) liking, preference, and conviction C) conviction and action D) the actual purchase

Business

Exit fees are paid for:

A) covering the cost of removing unsuccessful products from inventory B) getting a retailer to agree to limit purchases from another vendor C) shipping costs D) cooperative advertising programs

Business

Which component of EI is defined as the ability to control or redirect disruptive impulses and moods?

A. Social skill B. Self-awareness C. Empathy D. Self-regulation

Business

Value-based marketing requires that firms charge a price that customers perceive as giving them a good value for the product they receive.

Answer the following statement true (T) or false (F)

Business