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3I0-012 · Question #644

The two-week repo rate br the 5.25% bund 2007 is quoted to you at 3.33-38%. You agree to reverse in bonds worth EUR 266,125,000 with no initial margin. You would earn repo interest ot

The correct answer is B. EUR 344,632. See the full explanation below for the reasoning.

Question

The two-week repo rate br the 5.25% bund 2007 is quoted to you at 3.33-38%. You agree to reverse in bonds worth EUR 266,125,000 with no initial margin. You would earn repo interest ot

Options

  • AEUR 349,806
  • BEUR 344,632
  • CEUR 319,315
  • DEUR 324,110

How the community answered

(41 responses)
  • A
    2% (1)
  • B
    83% (34)
  • C
    10% (4)
  • D
    5% (2)

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