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3I0-013 · Question #139

3I0-013 Question #139: Real Exam Question with Answer & Explanation

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Question

Today is the fixing date for 6x9 FRA that you sold at 5.50% and for which the LIBOR is now 6.00%. Which of the following is true?

Options

  • AYou will pay a cash settlement to the counterparty
  • BYou will receive the cash settlement
  • CThere is no cash settlement pending
  • DThere is insufficient information to make a determination

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