php?page=view assessment&session_id=&assignment_id=5286 Libr... Polaris Leap - Login Support SmartVoice Login a Amazon.ca Amazon Business ML Meazure Learning S... Assessments >> FNCE403_Final_A_Rev4 Question 29 of 29 Instructions Show /1 mark We have a three-month Forward Rate Agreement (FRA) with underlying 90-day LIBOR, starting on January 1, in a non-leap year. The notional amount is $15 million. The LIBOR term structure is as follows: 90-day LIBOR = 3.00% 180-day LIBOR = 3.25% On February 1, the following LIBOR term structure can be found: 59-day LIBOR = 3.10% 149-day LIBOR = 3.40% The formula for calculating the fixed rate on an FRA is as follows: 1+ (L. (h+m) x ((+)360)) 360 F= 1+ (L. (h) (360)) m The formula for calculating the value of a long position in an FRA is as follows: 1+ 1 VFRA= x 1+ (L. (h-g) ((-8) 360)) (h-g 1- (FX()) 1+L (h+m-g) x ((h+m-8) 360)) Required: What is the total value of our FRA position based on the nominal value of $15 million? No calculations need to be shown. /1 mark Enter answer by clicking mouse in text box below (non-mouse users can use Shift-Tab to access the editor menu) Actions Format Lists Find Tables Images Math About show fullscreen: Paragraph 8 9 5 6 3 000 96 MU Copyright 2024 FastTrack Technologies Inc. All Rights Reserved. Terms of Use | Privacy Policy | Contact Us | Attributions Search SEG$ $16206960000 PRE Gateway 18 2/2024 09 48.3 O BE WELL POINTS