Question
GE is currently in a long forward to buy one A-382 Engine in exchange for a payment $11,188.34. The current price of the engine is
GE is currently in a long forward to buy one A-382 Engine in exchange for a payment $11,188.34. The current price of the engine is $12,836.73. The price of the engine can go up to $15,269.61 or down to $7,709.04. The CCIR is 5.35%. GE is considering selling the swap. What is the no-arbitrage value of the swap?
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The Little Book Of Market Myths: How To Profit By Avoiding The Investing Mistakes Everyone Else Makes
Authors: Kenneth L. Fisher
1st Edition
1118445015, 978-1118445013
