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Citibank and ABM Company enters into a 5 year inte...

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Citibank and ABM Company enters into a 5 year interest rate swap a notional principal of $100 million and the following terms:every year for the next five years, ABM agrees to pay Citibank 6% and receive from Citibank Libor. Using the following informatioin about LIBOR at the end of each of the next five years, determine the cash flows in the swap. Year LIBOR % 1 5 2 5.5 3 6.2 4 6 5 6.4

 

Paper#5545 | Written in 18-Jul-2015

Price : $25
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