Multiple Choice
An amortizing interest-rate swap is one in which
A) The fixed interest rate in the swap declines in a specified manner over the life of the swap.
B) The floating interest rate in the swap declines in a specified manner over the life of the swap.
C) The notional principal amount in the swap declines in a specified manner over the life of the swap.
D) The time-period between payments in the swap gets shorter in a specified manner.
Correct Answer:
Verified
Correct Answer:
Verified
Q2: The US Treasury market day-count convention is<br>A)Actual/365.<br>B)Actual/360.<br>C)Actual/Actual.<br>D)30/360.
Q3: An important difference between a floating-rate note
Q4: If the (1,1.5)-year forward rate is
Q5: Consider the following table of prices
Q6: A bank makes long-term fixed-rate loans,and funds
Q7: Firm A can borrow at 4%
Q8: You enter into a $100 million notional
Q9: You enter into a $100 million
Q10: Consider a $100 five-year zero-coupon swap to
Q11: You have entered into a swap where