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Semblian BPP 63

Former userFormer user7y ago

[Content removed at user request]

John MoffatJohn MoffatTutor7y ago#1
They only pay the extra 60 points if they are borrowing themselves. For part (a) they are paying Ratus 3.7625% and receiving LIBOR from Ratus. The question is quite specific about this and asks what the net receipt/payment will be. It is only in part (b) that the 60 points are relevant because there is is showing how the swap works.
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