am working through swaps (vol 6, p270- p275). why are my results different from the book? I KNOW a rounding error of 0.0002 may not sound like much, but on $100m nominal, the answer makes a huge difference.
ya gotta use 4 decimals in almost every step of the calculation slight rounding error for even the third decimal could lead to huge swap values
seaeffay Wrote: ------------------------------------------------------- > am working through swaps (vol 6, p270- p275). why > are my results different from the book? I KNOW a > rounding error of 0.0002 may not sound like much, > but on $100m nominal, the answer makes a huge > difference. +1
Same thing with some of the Quant material. I use six decimals. It may be overkill, but I’ll never be that far off.