Receive six-month LIBOR, pay 3% (s.a. compounding) on a principal of $100 million Remaining life 1.25 years LIBOR rates for 3-months, 9-months and 15- months are 2.8%, 3.2%, and 3.4% (cont comp) 6-month LIBOR on last payment date was 2.9% (s.a. compounding)

How can I calculate that one? 

Answer rating: 100% (QA)

To calculate the total amount to be paid at the end of the remaining 125 years on the loan we need t... View the full answer