Multiple Choice
A plain vanilla interest-rate swap is an agreement to exchange a series of periodic payments,one computed at a fixed rate and the other at
A) A floating rate indexed to a money-market rate in the same currency (e.g. ,Libor) .
B) A floating rate linked to the return on any financial index,e.g. ,an equity index.
C) A floating rate indexed to a money-market rate in the same or a different currency.
D) A floating rate indexed to a commodity (e.g. ,gold) price.
Correct Answer:
Verified
Correct Answer:
Verified
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