ACI 3I0-012 Online Practice Questions and Exam Preparation

ACI 3I0-012 Online Questions & Answers

• Question 641:

  EURIBOR is the:

  A. Daily fixing of EUR interbank deposit rates in the European market
  B. Daily fixing of EUR interbank deposit rates in the London market
  C. Another name for EUR LIBOR
  D. The ECB's official repo rate
  A. Daily fixing of EUR interbank deposit rates in the European market

• Question 642:

  EURODOLLAR futures are:

  A. Traded on the Chicago Mercantile Exchange (CME Group) and have a face value of USD 500,000.00
  B. Traded on the Intercontinental Exchange (ICE) and have a face value of USD 1,000,000.00
  C. Traded on the Intercontinental Exchange (ICE) and have a face value of USD 500,000.00
  D. Traded on the Chicago Mercantile Exchange (CME Group) and have a face value of USD 1,000,000.00
  D. Traded on the Chicago Mercantile Exchange (CME Group) and have a face value of USD 1,000,000.00

• Question 643:

  What do you call a combination of a long (short) call option and short (long) put option with same face value, same expiration date, same style, where the strike price is equal to the forward price?

  A. a synthetic forward
  B. a straddle
  C. risk reversal
  D. a strangle
  A. a synthetic forward

• Question 644:

  As far as fineness and weight are concerned, what are the London Bullion Market Association (LBMA) requirements for a "good delivery bar"?

  A. at least 995/1000 pure gold; weight between 350 and 430 fine ounces
  B. minimum 999.9/1000 pure gold; weight between 350 and 430 fine ounces
  C. at least 995/1000 pure gold; weight of 400 fine ounces
  D. minimum 995/1000 pure gold; weight of 400 fine ounces
  A. at least 995/1000 pure gold; weight between 350 and 430 fine ounces

• Question 645:

  How can material divergences between the value of cash and collateral be managed in a documented sell/ buy-back?

  A. Margin maintenance
  B. Re-pricing
  C. Margin maintenance or re-pricing, but usually margin maintenance
  D. Margin maintenance or re-pricing, but usually re-pricing
  D. Margin maintenance or re-pricing, but usually re-pricing

• Question 646:

  In a plain vanilla interest rate swap, the "fixed-rate payer":

  A. has established the price sensitivities of a longer-term fixed-rate liability and a floating-rate asset
  B. has established the price sensitivities of a longer-term fixed-rate asset and a floating-rate liability
  C. receives fixed in the swap
  D. pays floating in the swap
  A. has established the price sensitivities of a longer-term fixed-rate liability and a floating-rate asset

• Question 647:

  Cable is quoted at 1.5575-80 and you say "5 yours!" to the broker. What have you done?

  A. Sold USD 5,000,000.00 at 1.5575
  B. Sold GBP 5,000,000.00 at 1.5575
  C. Bought GBP 5,000,000.00 at 1.5580
  D. Bought USD 5,000,000.00 at 1.5580
  B. Sold GBP 5,000,000.00 at 1.5575

• Question 648:

  The major risk to the effectiveness of netting is:

  A. Credit risk
  B. Settlement risk
  C. Liquidity risk
  D. Legal risk
  D. Legal risk

• Question 649:

  When quoting the exchange rate between the USD and AUDI which is conventionally the base currency?

  A. USD
  B. AUD
  C. Depends on whether the price is being quoted in Australia or the US
  D. Depends on whether the price is being quoted interbank or to a customer
  B. AUD

• Question 650:

  If spot NZD/CHF is quoted to you as 0.7406-09. How many NZD would you receive in exchange for CHF 5,000,000.00 if you dealt on the price?

  A. 3,704,500.00
  B. 6,748,549.06
  C. 3,703,000.00
  D. 6,751,282.74
  B. 6,748,549.06