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problem: Using the following information, compute the fixed-rate payer's first two net quarterly payments receipts for a hypothetical interest rate swap describeed;

Notional principal $10 million

Fixed rate 7.0%

Days in first quarter 91

Days in second quarter 92

Current LIBOR (LIBOR0) 5.0%

Expected LIBOR (LIBOR1) 5.3%

Expected LIBOR (LIBOR2) 4.8%

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M920407

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