Question: The fixed rate should be obtained from the table depends on when you enter the contract, and at the time what is the rate.Basically, the

The fixed rate should be obtained from the table depends on when you enter the contract, and at the time what is the rate.Basically, the fixed srate should be obtained from the table. Six months ago, Thomas Group entered a one

-

year interest rate swap with its bank, paying fixed and receiving floating every quarter, according to the

3 -

month rate with nominal amount of $

10

million. Following is the rates information when swap was entered, the rates information three months ago, and the rates information today. Note that all rates are annual and quarterly compounding. Keep at least

6

decimal points during your calculation.

.

What are the amounts of money Thomas Group received or paid over past six months?

.

What is the current market value of the interest rate swap Thomas Group is holding?

The fixed rate should be obtained from the table depends on

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