(a) Consider a one-year interest rate swap with quarterly payments. As- sume a notional principal of $15 million. Calculate the annualized fixed rate on the swap if the current term structure of LIBOR interest rates is as follows: Lo(90) 0.0656 Lo(180) 0.0640 Lo (270)= 0.0621 Lo (360) = 0.0599

(a) Consider a one-year interest rate swap with quarterly payments. Assume a notional principal of $15 million. Calculate the annualized fixed rate on the swap if the current term structure of LIBOR interest rates is as follows: (a) Consider a one-year interest rate swap with quarterly payments. Assume a notional principal of $15 million. Calculate the annualized fixed rate on the swap if the current term structure of LIBOR interest rates is as follows