18. Suppose the Hedge fund in 17 financed their $100 million of MBS by using seven-day repurchase agreements in addition to their investors' capital. Assuming they borrow the maximum amount, the required haircut is 10%, and the interest rate is 2% per year, which of the following is closest to how much interest they will owe at the end of the first seven-day term? (a) $30,000 (b) $35,000 (c) $38,000 (d) $40,000 (e) None of these are within $5,000