15. NorthRock Investments is an asset manager that invests primarily in floating rate debt. The size of their bond portfolio is $700 million. NorthRock believes that inflation has peaked, which will cause interest rates to fall over the mediumterm. They decided to hedge against this risk by entering into a swap based on 1 -month LIBOR on 1 September 2022. The details of the swap are as follows: What swap must NorthRock enter into to hedge its position and what will be NorthRock's first cash flow? A) Pay fixed, receive 1m LIBOR swap, $595000 payment B) Pay fixed, receive 1-m LIBOR swap, $869167 payment C) Pay 1m Libor, receive fixed, $595000 receipt D) Pay 1m Libor, receive fixed, $869167 receipt E) Pay fixed, receive 1-m LIBOR swap, \$1 621667 payment