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#finance #steiner-mastering-financial-calculations-3ed
FRA is used to fix in advance the interest rate on the borrowing. When the time to borrow arrives, the borrower borrows the cash in the usual way. Under the FRA, which remains quite separate, he receives or pays the difference between the cash borrowing rate and the FRA rate.
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owner: piotr.wasik - (no access) - Mastering Financial Calculations 3ed (Steiner), p84


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