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Nader entered into a four-year interest rate swap one year ago with a level annual notional amount of 10,000 each year for 4 years. Under

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Nader entered into a four-year interest rate swap one year ago with a level annual notional amount of 10,000 each year for 4 years. Under the four-year swap, Nader agreed to swap floating interest rates for a fixed interest rate of 4.3%. Three years are left on the swap agreement and today's current spot rates are: Time Spot Rate 1 3.0% 2 4.0% 3 4.5% 4 5.2% Determine the market value of the swap from Nader's perspective if the swap is to be sold today. Possible Answers A - 130 B - 45.19 C 45.19 D 70.97 E 120.72 Nader entered into a four-year interest rate swap one year ago with a level annual notional amount of 10,000 each year for 4 years. Under the four-year swap, Nader agreed to swap floating interest rates for a fixed interest rate of 4.3%. Three years are left on the swap agreement and today's current spot rates are: Time Spot Rate 1 3.0% 2 4.0% 3 4.5% 4 5.2% Determine the market value of the swap from Nader's perspective if the swap is to be sold today. Possible Answers A - 130 B - 45.19 C 45.19 D 70.97 E 120.72

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