ACI Dealing Certificate 3I0-012 Question # 303 Topic 9 Discussion

ACI Dealing Certificate 3I0-012 Question # 303 Topic 9 Discussion

3I0-012 Exam Topic 9 Question 303 Discussion:
Question #: 303
Topic #: 9

You sold a JPY 500,000,000 1x12 FRA at 0.35%. The settlement rate is 11-month (334-day) JPY LIBOR, which is fixed at 0.4450%.

What is the settlement amount at maturity?


A.

You pay JPY 440,694


B.

You receive JPY 440,694


C.

You pay JPY 438,882


D.

You receive JPY 438,882


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