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A company enters into an interest rate swap where it is paying fixed and receiving floating. When interest rates increase, which of the following is
A company enters into an interest rate swap where it is paying fixed and receiving floating. When interest rates increase, which of the following is true?
The value of the swap to the company increases
The value of the swap to the company decreases
The value of the swap can either increase or decrease
The value of the swap does not change providing the swap rate remains the same
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Money Talks Explaining How Money Really Works
Authors: Nina Bandelj ,Frederick F. Wherry ,Viviana A. Zelizer
1st Edition
0691202893, 978-0691202891
