This question's due date has already passed. You may post a tutorial, but there's no guarantee that the original asker will purchase the tutorial. But other people might!

Question

$2.50 A swap is a method used to reduce financ

  • From Business: Finance
  • Closed, but you can still post tutorials
  • Due on May. 17, 2012
  • Asked on May. 17, 2012 at 10:48:52AM
Asked by :
sgtallen13
 
 
Q:

A swap is a method used to reduce financial risk. Which of the following statements about swaps, if any, is NOT CORRECT?

Answer

A swap involves the exchange of cash payment obligations.

The earliest swaps were currency swaps, in which companies traded debt denominated in different currencies, say dollars and pounds.

Swaps are very often arranged by a financial intermediary, who may or may not take the position of one of the counterparties.

A problem with swaps is that no standardized contracts exist, which has prevented the development of a secondary market.

Swaps can involve side payments in order to get the counterparty to agree to the swap.

 

Available Tutorials to this Question
 
$5.00
Your Answer A+++
  • This tutorial hasn't been purchased yet.
  • Posted on May. 17, 2012 at 10:55:08AM
Posted by :
MrJonny
 
A:
Preview: ... h swaps is that no standardized ...
The full tutorial is about 27 words long .