A US company enters into a 5-year currency swap for €. At the beginning it is $1/€1. At the end of five years, it is $1.5/€1. To calculate interests and principal, you only use $1/€1, correct? A swap is like many recurring forwards and you LOCK IN the rate at time 0. You don’t use a different rate at year 1, 2, etc.?
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