In a Fully Collateralized Transaction Which of the Following Leads

question 14

Multiple Choice

In a fully collateralized transaction which of the following leads to a pricing adjustment

• A)The rate paid on cash collateral is the fed funds rate
• B)The rate paid on cash collateral is greater than the fed funds rate
• C)The rate paid on cash collateral is less than the fed funds rate
• D)Both B and C

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