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4 The Wall Mal Company has entered into a 4-year interest rate swap with somiannual settlement, to pay a fed rate of 8% per year

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4 The Wall Mal Company has entered into a 4-year interest rate swap with somiannual settlement, to pay a fed rate of 8% per year and receive 6-month UBOR The notional principal is $50.000.000. Assume that one year biter the feed rate on a new year receive food pay ating LIBOR swap has fallen to 7% per year. Settlement is to a semiannual basis. Calculate the market value of the FRN based on $100 face value 5. An interational investment firm buys an interest rate cap that pays the ofference between LIBOR 2d6% UBOR exceeds 6%. Current UBORIS 5. The amount of the option is $1.500.000, and the settlement is every 3 months. Assume a 360 day. Find the payah UBOR 4.7% 4 The Wall Mal Company has entered into a 4-year interest rate swap with somiannual settlement, to pay a fed rate of 8% per year and receive 6-month UBOR The notional principal is $50.000.000. Assume that one year biter the feed rate on a new year receive food pay ating LIBOR swap has fallen to 7% per year. Settlement is to a semiannual basis. Calculate the market value of the FRN based on $100 face value 5. An interational investment firm buys an interest rate cap that pays the ofference between LIBOR 2d6% UBOR exceeds 6%. Current UBORIS 5. The amount of the option is $1.500.000, and the settlement is every 3 months. Assume a 360 day. Find the payah UBOR 4.7%

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