单选题 When one party pays a fixed rate of interest in an equity swap, which of the following is FALSE?

A、 Unlike other swaps, in an equity swap the one-quarter-ahead payment is not known at the end of the previous quarter.
B、 The equity-return payer will receive the fixed-rate minus the equity return.
C、 The fixed-rate receiver will never get more than the fixed rate.

【正确答案】 C

【答案解析】If the periodic return on the equity is negative, the fixed-rate payer must pay the fixed rate plus the percentage of (negative) equity return, times the notional principal.