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Given a 6 year fixed for float interest rate swap on 1,200,000 notional principle with annual resets, company x pays a 6% annual fixed rate
Given a 6 year fixed for float interest rate swap on 1,200,000 notional principle with annual resets, company x pays a 6% annual fixed rate compounded annually. Company y receives fixed. If the floating rate observed at 5% annual rate compounded annually, what are the equations for the cash flow lines of each company?
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To calculate the cash flow lines for Company X and Company Y in a 6year fixedforfloat interest rate swap we need to consider the fixed and floating pa...
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Advanced Accounting
Authors: Susan S. Hamlen, Ronald J. Huefner, James A. Largay III
2nd edition
1934319309, 978-1934319307
