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2. An investor borrows $2m from XYZ Bank at LIBOR-90 plus a quoted margin of 2%. If the LIBOR-90 effective for the 90-day loans equals

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2. An investor borrows $2m from XYZ Bank at LIBOR-90 plus a quoted margin of 2%. If the LIBOR-90 effective for the 90-day loans equals 5%, the amount of interest that the investor will pay XYZ Bank is closest to: A. $140,000 B. $35,000 I+ C C. $65.000

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