1. A corporation agrees to pay on a $25 million one year swap. The settlement terms are advanced set, settle in arrears. The day count for both sides of the swap are actual/360. The fixed rate on the swap is 2.25% and the swap is initiated December, 2018. Assume the following day count and LIBOR fixing are observed:

LIBOR DayCount

a. December 2018 2.00%

b. March 2019 2.15% 90days (Dec 2018 to March 2019)

c. June 2019 2.45% 92days (March 2019 to June 2019)

d. September 2019 2.90% 91days (June 2019 to September 2019)

e. December 20169 92days (September 2019 to December 2019)

List all 4 payments made or received by the corporation as a result of the swap.

March:

June:

September:

December: