Awan co

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October 18, 2021 at 8:37 pm #638371
humai
Participant
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Sir in this Qs in FRA, while calculating gain or loss due to FRA we will take (4.79% – 4.82%) x 48 million x 4/12

OR

we will take

(4.99% – 4.82%) x 48 million x 4/12 ?
October 19, 2021 at 7:34 am #638421
John Moffat
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If interest rates increase to 4.99% then the payment on the FRA will be (4.99 – 4.82) x 48M x 4/12, as per the examiners answer.
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