Question
Which of the following derivative instrument is a type
of financial derivative in which fixed payments of interest are exchanged by two counterparties for floating payments of interest?Solution
A swap is an agreement between two counter parties to exchange cash flows in the future. Under the swap agreement, various terms like the dates when the cash flows are to be paid, the currency in which to be paid and the mode of payment are determined and finalized by the parties. Usually the calculation of cash flows involves the future values of one or more market variables. There are two most popular forms of swap contracts, i.e., interest rate swaps and currency swaps.
Choose the word correct synonym:
Regulate
Select the most appropriate opposite of the given CONCURRENCE
Using or containing more words than are needed
Choose the word similar in meaning to the given word:
Recalcitrant
Select the INCORRECTLY spelt word.
- Select the most appropriate synonym of the bold word.
The speaker's candid response surprised the entire audience.
... Sparse
- Choose the word similar in meaning to the given word:
Voracious What is the synonym for the word "pedantic"?
13. Stringent
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