[anassada999]

and how to arrive at end result i mean the that being my main doubt not the swap part only how to start and the end result the remaining process is just a balancing act/figure

[anassada999]

I know you have made a vedio on interest rate swaps
please send me a link if i missed the video of this because i dont think you made a video on this where we dont know which interest rate should a company choose just on the difference

and seeing your videos i can make assumptions and learn the concept but i dont feel very comfortable and assured(risky approach ) doing so.things can go wrong if my my assumptions are a bit shaky

[anassada999]

Ok thank you thats all for this forum , if any other doubt comes up ill make a new forum.

[anassada999]

Oh Thank you for this piece of information as well i thought both of them were the same

oh god again confusing

instead of anothor post in a new forum please explain in a sentence or two the difference between future price and future rate

i thought the future price for the future that is three months in advance hence future rate

any ways ill mention future price for this all future price and not rate

where do we use the term future rate any ways then?

[anassada999]

Ok thank you
Yes this is exactly the situation i was asking on
so to say
if the reason is
only one futures price is given

But the future price is given for either buy or sell right and not for both

if it for both then i guess your assumption is valid

i think its for both buy as well as sell

but when we are calculating/predicting the future rate it is meant for either buying or selling

Just mention the future rate calculated is for both buying and selling then no more explanation is required as its pretty much logical as the spread is for both buy and sell
right?

[anassada999]

I do understand the concept of basis risk

just the difference and whether the implementation is the same or not

[anassada999]

i would like to know on spelling misstakes on regard to tyoing will they reduce marks for making mistakwes for typing error as it can effext the timing of the answers or will they ignore it just as how you told for hand wrttern papar

it actually takes a few minutes to correct the mistakes which can impact the speed quality iof answers written ect

let me know

[anassada999]

Thanks

[anassada999]

Tell me if my answer is correct

DR BANK 650000
DR Other Comprehensive Income 80000
CR statement of profit and loss 30000
CR Investment in shares 620000
CR Retained earning 80000

[anassada999]

the nest qn is which is the best transfer price which is suitable for both parties i know that there is a minimum transfer price and a maximum transfer price my qn is is market price best of cost plus profit

[anassada999]

the other doubt is whether 5340000 is the marginal cost of production i am asking after seeing all other answers u have given
please explain the meaning of unsatisfied demand and whether 884000 is the opportunity cost or variable cost since transfer price = mc + opp cost

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