Free 3I0-012 Exam Braindumps (page: 33)

Page 32 of 186

It is June. You are over-borrowed from October to January on your deposit book. How would you hedge using FRAs?

  1. Sell 3x6
  2. Buy 3x6
  3. Sell 4x7
  4. Buy 4x7

Answer(s): C



Today, you sold 10 December EURODOLLAR futures contracts at 99.50. The closing price is fixed by the exchange at 99.375. What variation margin will be due?

  1. You will have to pay USD 312.50
  2. You will receive USD 312.50
  3. You will have to pay USD 3,125.00
  4. You will receive USD 3,125.00

Answer(s): D



What is a short straddle option strategy?

  1. A long call option + long put option with the same strike prices
  2. A short call option + short put option with the same strike prices
  3. A long call option + short put option with the same strike prices
  4. A short call option + long put option with the same strike prices

Answer(s): B



What is the probability of an ‘at-the-money’ option being exercised?

  1. Less than 50% probability
  2. 50% probability
  3. More than 50% probability
  4. Zero probability

Answer(s): B






Post your Comments and Discuss ACI 3I0-012 exam with other Community members:

3I0-012 Discussions & Posts