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MN National Bank make the following interest rate collar: 10 millions, 9.80% interest rate cap with a price of 1.52% of face value 10 millions,
MN National Bank make the following interest rate collar: 10 millions, 9.80% interest rate cap with a price of 1.52% of face value 10 millions, 3.6% interest rate floor with a price of 1.27% of face value If at expiration interest rates are 10.20%, how much is the profit/(loss) of MN National Bank? PRESENT YOUR ANSWER ROUNDED TO ZERO DECIMAL PLACES DON'T USE COMMA SEPARATORS IF A LOSS USE THE MINUS SIGN EX -12
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