The Swap Market,the Reference Amount Against Which the Interest Is

question 20

Multiple Choice

the swap market,the reference amount against which the interest is calculated is known as the

• A)notional principal
• B)basis amount
• C)arbitrage principal
• D)swap differential

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Definitions:

Marginal Social Cost

The cumulative expense incurred by society for creating one more unit of a product or service, encompassing both direct private costs and any external effects.

Garbage Recycled

The process of collecting, processing, and reusing materials that would otherwise be thrown away as trash.

Payment Plan

An arrangement between a seller and a buyer that allows the buyer to pay off a purchase over time in instalments.

Marginal Benefit

The extra pleasure or benefit derived from acquiring or making another unit of a product or service.