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.
Which figure should replace the question mark (?) in the following series to continue the pattern?
Seven athletes A, B, C, D, E, F and G participate in a race. E is ahead of A but behind F. D is ahead of only two athlete. G is running last. C is runni...
20480, 10240, 5120, 2550, 1280
This question has two statements followed by two conclusions numbered I and II. You have to take the given statements to be true even if they seem to be...
Select the set in which the numbers are related in the same way as are the numbers of the given set. (NOTE: Operations should be performed on the whole ...
Find the upcoming numbers in this series.
19, 28, 46, 82, 154,?
Soham says, "I have as many sisters as brothers." Pooja says, "Each of us sisters has only half as many sisters as brothers." Assuming that Soham and P...
If ‘+’ means ‘−’, ‘−’ means ‘×’, ‘×’ means ‘÷’ and ‘÷’ means ‘+’, what will come in place of ‘?’ in the foll...
Nun : Convent :: King : ?
Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at variance...
