If the Bank Could Borrow at a Fixed Rate of 10

question 52

Multiple Choice

If the bank could borrow at a fixed rate of 10% for 5 years,what is the notional principal of the swap if the interest fixed payment is $5 million per year?

• A) $80 million
• B) $50 million
• C) $75 million
• D) $80 million.

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Definitions:

Embryo

An early stage of development in multicellular organisms, in humans, it refers to the stage after fertilization and before becoming a fetus.

Fetus

A developing mammal or human from the end of the embryonic stage until birth, during which significant growth and organ development occur.

Critical Period

A specific time during development when the brain is particularly receptive to acquiring certain types of information or skills.

Development

The process of growth and change that occurs in biological organisms, including physical, cognitive, and emotional development.