In class we derived the valuation formula for a Receiver FRA. a)
Derive the formula for...
In class we derived the valuation formula for a Receiver FRA. a)
Derive the formula for a Payer FRA in the same way, in terms of
zero-coupon bonds. b) Setting the contract value equal to zero,
rearrange and solve for K.
Incorporate household production in the income- leisure model we
derived in the class and derive the slopes of the budget constraint
and indifference curve. Show the condition at which utility
maximization will occur for this model.
Swap Valuation
1) Derive a single valuation formular for a receiver swap
valid all over the contract lifetime, that is from time t to time
Tn, both include
2) Modify formula derived at the previous step to allow for
disentangled resetting and payment dates.
Question 1: [55 marks]
When we derived money demand function in class, we assumed that
money demand
depends on income and interest rate. Consider an economy that
its money demand does not
depend on income and is only a function of interest rate.
M
d
=
L
(
i
)
Suppose that the economy is an open economy that is on a áexible
exchange rate system.
1. Draw the money demand and supply curves with money demand and
supply on...
C++ Code
Vehicle Class
The vehicle class is the parent class of a derived class:
locomotive. Their inheritance
will be public inheritance so reflect that appropriately in
their .h files. The description of
the vehicle class is given in the simple UML diagram below:
vehicle
-map: char**
-name: string
-size:int
--------------------------
+vehicle()
+setName(s:string):void
+getName():string
+getMap():char**
+getSize():int
+setMap(s: string):void
+getMapAt(x:int, y:int):char
+~vehicle()
+operator−−():void
+determineRouteStatistics()=0:void
The class variables are as follows:
• map: A 2D array of chars, it will represent the...
C++ Code
Vehicle Class
The vehicle class is the parent class of the derived class:
dieselLocomotive. Their
inheritance will be public inheritance so reect that
appropriately in their .h les. The
description of the vehicle class is given in the simple UML
diagram below:
vehicle
-map: char**
-name: string
-size:int
--------------------------
+vehicle()
+getSize():int
+setName(s:string):void
+getName():string
+getMap():char**
+setMap(s: string):void
+getMapAt(x:int, y:int):char
+~vehicle()
+operator--():void
+determineRouteStatistics()=0:void
The class variables are as follows:
map: A 2D array of chars, it will represent the map...
If a class A implements interface I1 and class
C and D are derived from class A, a
variable of type I1 can be used to hold references of what
type of objects? which one is correct
1. A, C, and D
2. A and D
We discussed in class about the recent trend of the valuation of
major currencies including U.S. dollar. Especially the article from
The Economist, “The fate of the dollar will shape financial markets
in 2019” presented some ideas on the causes of the recent dollar
appreciation and also on some scenarios of possible trend of major
currency values in near future. a) (5 points) Explain the possible
economic reasons why U.S. dollar appreciated against other major
currencies including pound sterling, Euro...