Question
1.Alpha Private Limited issues a 7498.87 million drifting rate advance on July 1, 2013 with resetting of coupon rate like clockwork equivalent to LIBOR +
1.Alpha Private Limited issues a 7498.87 million drifting rate advance on July 1, 2013 with resetting of
coupon rate like clockwork equivalent to LIBOR + 50 bp. Alpha Private Limited is keen on a
collar methodology by selling a Floor and purchasing a Cap. Alpha Private Limited purchases the 3 years Cap and
sell 3 years Floor according to the accompanying subtleties on July 1, 2013:
Notional Principal Amount$ 10 million
Reference Rate6 months LIBOR
Strike Rate4% for Floor and 7% for Cap
Premium0*
*Since Premium paid for Cap = Premium got for Floor
Utilizing the accompanying information you are needed to decide:
I. Powerful interest paid out at each reset date,
ii. The normal by and large viable pace of interest p.a.
Reset DateLIBOR (%)
31-12-20136.00
30-06-20147.50
31-12-20145.00
30-06-20154.00
31-12-20153.75
30-06-20164.25
2.In the advancement of measurable techniques, the best commitment is that of:
(a) Economists
(b) Scientists
(c) Mathematicians
(d) None of these
3. Ethnicity of an understudy is:
(a) A trait
(b) A constant variable
(c) A discrete variable
(d) (a)or(c)
4.Who has characterized measurements as "total of realities influenced to a checked degree by assortment of
causes........."
(a) A. L. Bowley
(b) Prof. Y-Lan-Chou
(c) Croxton and Cowden
(d) Prof. Horace Secrist
5.Measurements is characterized as far as mathematical information in the:
(a) Singular Sense
(b) Plural Sense
(c) Either (a) or (b)
(d) Both (a) and (b)
6.In Singular Sense, measurements implies:
(a) Statistical information
(b) Statistical strategy
(c) Both(a)&(b)
(d) None of these
7.Measurements Can:
(a) Prove anything
(b) Disprove anything
(c) Neither demonstrate nor discredit anything is only an instrument
(d) None of these
8. A characteristic is:
(a) A subjective Characteristic
(b) A quantitative Characteristic .
(c) A quantifiable Characteristic
(d) All of these
9. Measurements is applied in
(a) Economics
(b) Business the board
(c) Commerce and Industry
(d) All of these
10.Who has characterized Statistics as 'mathematical Statement of realities':
(a) A L Bowley
(b) Prof. Y-Lan-Chou
(c) Croxton and Cowden
(d) Prof. Horace Secrist
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