ACI
3I0-012 · Question #365
A fixed rate forward/forward non-deliverable deposit/loan transaction, settled in cash with an agreed upon process for calculating the market reference at the commencement of the forward/forward…
The correct answer is B. a forward rate agreement. See the full explanation below for the reasoning.
Question
A fixed rate forward/forward non-deliverable deposit/loan transaction, settled in cash with an agreed upon process for calculating the market reference at the commencement of the forward/forward period, is called:
Options
- Aan interest rate swap
- Ba forward rate agreement
- Ca short term interest rate future
- Dan interest rate collar
How the community answered
(42 responses)- A7% (3)
- B81% (34)
- C2% (1)
- D10% (4)
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