Hi John.
In b, how do they came up with yield interest of 3% & 4%? How to calculate 9.6m and 12.8m?
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Sembilan June 2012 question
8y ago#1Part (b) asks you to demonstrate! The answer has demonstrated using 3% and 4%, but you could have demonstrated using any interest rates.
For the rest of your question you need to watch my lecture on swaps.
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