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2) Chrysler LLC, the now privately held company sold off by DaimlerChrysler, must pay floating rate interest three months from now. It wants to lock

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2) Chrysler LLC, the now privately held company sold off by DaimlerChrysler, must pay floating rate interest three months from now. It wants to lock in these interest payments using interest rate futures contracts. Interest rate futures for three months from now settled at 96.77, for a yield of 3.23% per annum. a. Should Chrysler buy or sell the interest rate futures contract? b. If the floating interest rate three months from now is either 3.00% or 3.50%, what dollar amount did Chrysler gain or lose in each case

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