IDENTIFY THE INTEREST RATE SWAP PARTICIPANTS THAT CORRESPONDS TO FOLLOWING STATEMENTS
A. FIXED RATE PAYER 3. RECEIVES A NET PAYMENT ON THE SWAP FOR AN
IDENTIFY THE INTEREST RATE SWAP PARTICIPANTS THAT CORRESPONDS TO FOLLOWING STATEMENTS
A. FIXED RATE PAYER 3. RECEIVES A NET PAYMENT ON THE SWAP FOR ANY INTEREST PERIOD FOR WHICH THE MARKET REFERENCE RATE EXCEEDS THE FIXED RATE
B. FLOATING RATE PAYER 1. MAKES A PAYMENT EACH INTEREST PERIOD BASED ON MRR
C.BOTH A FIXED RATE PAYER 2. MAY FACE A POSITIVE OR NEGATIVE MARK TO MARK TO MARKET OVER THE
AND FLOATING RATE PAYER LIFE OF AN INTEREST RATE SWAP
SIR , IAM HAVING DOUBT IN A AND B . CONSIDERING PERSON A AS FIXED RATE PAYER AND PERSON B AS VARIABLE RATE PAYER. THEN AFTER SWAP A WILL BE PAYING VARIABLE RATE TO B AND B WILL BE PAYING FIXED INTEREST RATE TO A. THEN IF MARKET RATE IS HIGHER THAN FIXED RATE, B( VARIABLE RATE PAYER) WILL BE GETTING NET PAYMENT ON SWAP HOW COME FIXED RATE PAYER WILL BE GETTING IT?
Hina Bazaria K.
Hina Bazaria K
IDENTIFY THE INTEREST RATE SWAP PARTICIPANTS THAT CORRESPONDS TO FOLLOWING STATEMENTS