2. Ampex Corporation entered into a three-year cross currency interest rate swap to receive U.S. dollars and pay Swiss francs. Ampex, however, decided to unwind the swap after one year - thereby having two years left on the settlement costs of unwinding the swap after one year. Repeat the calculations for unwinding, but assume that the following rates now apply: Assumptions Notional principal $10,000,000 Original spot exchange rate, SFr./S New (1-year later) spot exchange rate, SFr./S .9850 1.0475 New fixed US dollar interest 4.20% 2.20% New fixed Swiss franc interest 3- year bid Swap Rates Original: US dollar Original: Swiss franc 5.56% 1.93% 2. Ampex Corporation entered into a three-year cross currency interest rate swap to receive U.S. dollars and pay Swiss francs. Ampex, however, decided to unwind the swap after one year - thereby having two years left on the settlement costs of unwinding the swap after one year. Repeat the calculations for unwinding, but assume that the following rates now apply: Assumptions Notional principal $10,000,000 Original spot exchange rate, SFr./S New (1-year later) spot exchange rate, SFr./S .9850 1.0475 New fixed US dollar interest 4.20% 2.20% New fixed Swiss franc interest 3- year bid Swap Rates Original: US dollar Original: Swiss franc 5.56% 1.93%