Question: Calculate the value ( in U . S . dollars ) today ( to the party paying dollars ) of a 5 - year old

Calculate the value (in U.S. dollars) today (to the party paying dollars) of a 5-year old swap with 5 years remaining maturity. Calculate within $1.00 watch your rounding. The swap calls for exchanging interest only on 10m at 3.0 percent for $8.0m at 4.03 percent. SEMIANNUAL payments. The last payment was yesterday. Today's exchange rate is $1.04609/ and the AAA rate in the U.S. is 6.05% and 5.00% in the euro zone.

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