3. Bank of New Folk charge 6.5% rate of interest on a 9-month loan. Company Folkland recently needs to apply for a loan of amount $10.25 million. Bank of New Folk told Company Folkland that if it can obtain a credit guarantee, the loan interest will be at 6%. Bank of New Folk agrees to sell a standby letter of credit to Company Folkland at $10,000. Is Folkland likely to buy the this guarantee that Bank New Folk offered? Please explain.