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3I0-012 · Question #57

3I0-012 Question #57: Real Exam Question with Answer & Explanation

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Question

Hybex Electrics is a highly rated company with a considerable amount of fixed rate liabilities and would like to increase the percentage of floating rate debt. Which of the following is the best course of action?

Options

  • AHybex should become a payer of a fixed rate on a swap against receipt of LIBOR.
  • BHybex should become a receiver of a floating rate on a swap against payment of a fixed rate
  • CHybex should become a receiver of a fixed rate on a swap against payment of LIBOR D.
  • DHybex should become a receiver of a floating rate on a swap against payment of LIBOR

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