Find the Net Payment on an Equity Swap in Which

question 48

Multiple Choice

Find the net payment on an equity swap in which party A pays the return on a stock index and party B pays a fixed rate of 6 percent.The notional amount is $10 million.The stock index starts off at 1,000 and is at 1,055.15 at the end of the period.The interest payment is calculated based on 180 days in the period and 360 days in the year.

• A)party B pays $851,500
• B)parry B pays $48,500
• C)party B pays $251,500
• D)party A pays $251,500
• E)party A pays $851,500

---

Definitions:

Space Biased Media

Media technologies that emphasize the dissemination of information over long distances, facilitating broad communication rather than depth or localized context.

Number Of Hours

A measurement of time, typically used to quantify the duration of activities, work, or events.

Naomi Klein

A Canadian author, social activist, and filmmaker known for her critiques of global capitalism and climate change.

Tommy Hilfiger

A global brand known for its apparel, footwear, accessories, and fragrances, embodying classic American cool style with a preppy twist.