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3I0-012 · Question #699

3I0-012 Question #699: Real Exam Question with Answer & Explanation

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Question

You bought a EUR 8,000,000 6x9 FRA at 4.50%. The settlement rate is 3-month (90-day) EURIBOR, which is fixed at 3.50%. What is the settlement amount at maturity?

Options

  • AYou pay EUR 20,000.00
  • BYou receive EUR 20,000.00
  • CYou pay EUR 19,826.52
  • DYou receive EUR 19,826.52

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