A Company Can Invest Funds for Five Years at LIBOR

question 10

Multiple Choice

A company can invest funds for five years at LIBOR minus 30 basis points.The five-year swap rate is 3%.What fixed rate of interest can the company earn by using the swap?

• A) 2.4%
• B) 2.7%
• C) 3.0%
• D) 3.3%

Learn the symbols used in technical drawings to represent details such as depth and quantity.

Understand the rules for dimensioning in auxiliary views.

Comprehend the concept of removing parts of a view for clarity and what this represents.

Understand the relationship between primary and secondary auxiliary views.