Apple Inc. purchased a Forward Rate Agreement (FRA) that will commence in 3 months' time. This is a 3X6 FRA and quoted at 3% per annum, settled against LIBOR. All interest rates are discretely compounded using quarterly compounding. Immediately after Apple Inc. entered the FRA, the yield curve shifted, and the FRA rate quoted for the same period is now 3.5% per annum. Which of the following statements most accurately reflects the situation? (3x6 FRA is a forward rate agreement to exchange cash in 3 months' time based on the difference between 3-month interest rate prevailing then and the contract rate (entered into at t=0).) Select one or more: a. It is impossible to determine whether the value of the FRA to Apple is positive or negative without knowing the whole term structure of interest rates. b. After interest rates shift up to 3.5% the value of the FRA to Apple is negative. c. When Apple enters the FRA and before interest rates shift up the value of the FRA is zero. Od. After interest rates shift up to 3.5% the value of the FRA to Apple is positive. Apple Inc. purchased a Forward Rate Agreement (FRA) that will commence in 3 months' time. This is a 3X6 FRA and quoted at 3% per annum, settled against LIBOR. All interest rates are discretely compounded using quarterly compounding. Immediately after Apple Inc. entered the FRA, the yield curve shifted, and the FRA rate quoted for the same period is now 3.5% per annum. Which of the following statements most accurately reflects the situation? (3x6 FRA is a forward rate agreement to exchange cash in 3 months' time based on the difference between 3-month interest rate prevailing then and the contract rate (entered into at t=0).) Select one or more: a. It is impossible to determine whether the value of the FRA to Apple is positive or negative without knowing the whole term structure of interest rates. b. After interest rates shift up to 3.5% the value of the FRA to Apple is negative. c. When Apple enters the FRA and before interest rates shift up the value of the FRA is zero. Od. After interest rates shift up to 3.5% the value of the FRA to Apple is positive