Q4: ABX has a project start in 3 month (After 3 month) continue until the...

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Q4: ABX has a project start in 3 month (After 3 month) continue until the end of the year. The company need to borrow $250m 6/5.6 5/40 4/88 3.5153 2116 M 3 ly 24 What is the main concern of ABX? Calculate the contract rate- Explain the meaning of the contract rate Suppose the settlemt rate is 7% 1. What do we mean by settlement rate ? 2. Is this a good news or bad news for the company? 3. What is the loss/gain of the company? 4. Suppose that the company decide to inter into FRA agreement a. What is the FRA agreement b. Explain what happen to the company due to this agreement Q4: ABX has a project start in 3 month (After 3 month) continue until the end of the year. The company need to borrow $250m 6/5.6 5/40 4/88 3.5153 2116 M 3 ly 24 What is the main concern of ABX? Calculate the contract rate- Explain the meaning of the contract rate Suppose the settlemt rate is 7% 1. What do we mean by settlement rate ? 2. Is this a good news or bad news for the company? 3. What is the loss/gain of the company? 4. Suppose that the company decide to inter into FRA agreement a. What is the FRA agreement b. Explain what happen to the company due to this agreement

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