Multiple Choice
If counterparty A uses a swap for hedging purposes, the company will be in a position where
A) the value of both its assets and its liabilities remain fixed
B) the value of its assets stays fixed while the value of its liabilities decreases
C) the value of its assets increases while the value of its liabilities decreases
D) the value of its assets fluctuates by the same amount as the value of its liabilities fluctuates
Correct Answer:
Verified
Correct Answer:
Verified
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