Commodity swap calculations in reading 32 - assistance requi difficulty, assistance, reading, complex

tikfed

Hi guys,
Deriving ‘x’ from complex formulas is not my strong point. I’m having difficulty solving for ‘x’ to obtain the 2- and 3-yr swap price per barrel of oil in the EOC questions and the text doesn’t appear to show a step by step derivation.
If anyone can assist it would be greatly appreciated.
Cheers!

OmarAdnan

take the x out (factor it out)
then you are left with
x [ 1/1.06 + 1/1.07^2] = 200 or sth like that
now it is solvable by the calculator.
since you can get x * a number = 200
so x = 200 / [ a number ]

Iginla2010

Wow that is embarrassingly easy. Thanks a mil!