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Bank A has $ 5 0 million in Certificates of Deposits on which the interest rate resets every 6 - months. It also has $
Bank A has $ million in Certificates of Deposits on which the interest rate resets every months. It also has $ million in fixed rate mortgages. For Bank A which of the following would be true in constructing an interest rate swap
Assets Floating, Liabilities Floating, therefore PayFloating, ReceiveFloating
Assets Floating, Liabilities Fixed, therefore PayFloating, ReceiveFixed
Assets Fixed, Liabilities Floating, therefore PayFixed, ReceiveFloating
Assets Fixed, Liabilities Fixed, therefore Pay Fixed, ReceiveFloating
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