25. Using the same numbers as in the previous two questions, compute the payoff after six months (i.e., at maturity) under (a) an FRA and (b) a tailed eurodollar futures contract if the Libor rate at maturity is 5%, and the locked-in rate in both cases is 4%. Also compute the payoffs if the Libor rate ends up at 3%. Comment on the difference in payoffs of the FRA versus the eurodollar futures.
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