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Ganado's Cross-Currency Swap: SFr for USS. Ganado Corporation entered into a 3-year cross-currency interest rate swap to receive U.S. dollars and pay Swiss francs. Ganado,
Ganado's Cross-Currency Swap: SFr for USS. Ganado Corporation entered into a 3-year cross-currency interest rate swap to receive U.S. dollars and pay Swiss francs. Ganado, however, decided to unwind the swap after one year--thereby having two years left on the settlement costs of unwinding the swap after one year. Repeat the calculations for unwinding, but assume that the following rates www apply: Com The notional principal in Swiss francs is SFr 14725000 (Round to the nearest Swiss franc) Data table In the first year of the swap, Ganado will receive $ 528200. (Round to the nearest dollar.) In the second year of the swap. Ganado will receive $ 528200. (Round to the nearest dollar.) (Click on the icon to import the table into a spreadsheet.) In the third year of the swap, Ganado will receive $ 10028200. (Round to the nearest dollar.) Swap Rates Original: US dollar Original: Swiss franc Values $9,500,000 1.5500 1.6000 5.20% 3-Year Bid 5.56% 1.93% 3-Year Ask 5.59% 2.01% In the first year of the swap, Ganado will pay SFr (Round to the nearest Swiss franc.) Assumptioms Notional principal Original spot rate (SFr($) New (1-year later) spot (SF/S) New fixed US$ interest New fixed Swiss franc Interest 2.25% Print Done
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