Pricing a Currency Swap After Inception Involves

question 52

Multiple Choice

Pricing a currency swap after inception involves

• A)finding the difference between the present values of the payments streams the party will receive in one currency and pay in the other currency, converted to a common currency.
• B)sending a market order to a swap dealer.
• C)finding the sum of the present values of the payments streams that each party will receive in one currency and pay in the other currency, converted to a common currency.
• D)none of the above

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Definitions:

Refusing

The act of deliberately not accepting or agreeing to something.

Race

A social construct that categorizes people based on physical characteristics, such as skin color, facial features, and hair texture.

Discrimination

The unjust or prejudicial treatment of different categories of people, especially on the grounds of race, age, sex, or disability.

Unequal Treatment

The unfair and differential treatment of individuals or groups based on characteristics such as race, gender, age, or social status, often leading to discrimination and prejudice.